Department of Fire and Emergency Services

ANNUAL REPORT 2017-18

We’re proud to work with the community to make WA a safer State Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

Executive Summary...... 1 Governance...... 169 Statement of Legislative Compliance...... 1 Audit and Risk Management Committee...... 174 Commissioner’s Foreword...... 2 Other Governance Committees...... 176 Our Year at a Glance...... 4 Managing Risk...... 177 Organisational Profile...... 6 Unauthorised use of Credit Cards...... 179

Our Locations and Resources...... 7 Other disclosures and legal compliance...... 180 Shared Responsibilities with Other Agencies...... 8 Ministerial Directions...... 181 Administered Legislation...... 9 Capital Works...... 182 Vision, Mission and Values...... 10 Advertising...... 183 Corporate Structure...... 11 Compliance with Public Sector Standards and Ethical Codes...... 184 Organisational chart as at 30 June 2018...... 12 Employment and Industrial Relations...... 185 Current and Emerging Issues and Trends...... 17 Occupational Safety, Health and Injury Management...... 188

Report on Operations...... 22 Table of Results...... 193 Financial Targets summary...... 23 Reconciliation Action Plan...... 194 Key Performance Indicators – Our Four Outcomes...... 25 Disability Access and Inclusion Plan...... 196 Key Performance Indicators – Our Four Services...... 27 Record Keeping Plans...... 198 Our Key Achievements...... 30 Freedom of Information...... 199 Glossary...... 200 Financial Statements and Performance Indicators...... 53 Acronyms...... 201 Certification of Financial Statements...... 54 Certification of Key Performance Indicators...... 146 Appendices...... 202 Independent Audit Opinion...... 164 Appendix 1 Emergency Response Statistics...... 203 Appendix 2 Emergency Services Levy Collections and Allocations... 206 Appendix 3 Infrastructure and Vehicles...... 211

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STATEMENT OF LEGISLATIVE COMPLIANCE for the year ended 30 June 2018

To the Honourable Francis Logan MLA, Minister for Emergency Services

In accordance with section 63 of the Financial Management Act 2006, I hereby submit the Annual Report of the Department of Fire and Emergency Services for the financial year ended 30 June 2018, for your information and presentation to Parliament.

The Annual Report has been prepared in accordance with the provisions of the Financial Management Act 2006 as well as the Fire and Emergency Services Act 1998, the Fire Brigades Act 1942 and the Bush Fires Act 1954.

The Honourable Francis Logan MLA Minister for Emergency Services D Klemm AFSM Accountable Authority 21 August 2018

CONTACT DETAILS STREET ADDRESS ELECTRONIC POSTAL ADDRESS Emergency Services Complex Email [email protected] GPO Box P1174 20 Stockton Bend Website www.dfes.wa.gov.au Perth WA 6844 Cockburn Central WA 6164 Telephone [08] 9395 9300 Facsimile [08] 9395 9384

This publication is available in alternative formats on request. dfes_wa dfeswa EXECUTIVE SUMMARY Department of Fire and Emergency Services | Annual Report 2017-18 1 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

COMMISSIONER’S FOREWORD

I am pleased to present the Department of Their dedication to serving the community and Fire and Emergency Services’ (DFES) 2017-18 collaborating with other agencies is confirmed Annual Report which details our performance in this report through examples of saving lives, and highlights our commitment to working to preparing and training for emergency and build a safer Western Australia. disaster events as well as implementing new technologies and equipment used to enhance The last 12 months have been busy with our emergency communication and response considerable change and opportunity for DFES capabilities. which has largely been driven by Machinery Fire and Emergency Services of Government reform. Whilst this process An exciting outcome of the recent changes Commissioner has meant some uncertainty for staff due to a that have occurred within DFES has been the Darren Klemm AFSM resulting organisational restructure, they have establishment of the Rural Fire Division. This acted professionally and admirably continuing new division meets the intention of the Waroona to build the resilience of the community and Bushfire Special Inquiry by bringing together maintain a focus on the protection of life, the many aspects of rural fire management property and the environment. and creating a greater focus on the input of the State’s volunteers and strengthening I am in fact, particularly proud of DFES’ ability collaborative efforts. to adapt and evolve in response to the changing priorities of our many stakeholders.

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A significant development under the Rural In part, to achieve this the Minister for I would also importantly like to acknowledge Fire Division will be the creation of a Bushfire Emergency Services, Hon. Francis Logan and the efforts, diligence and commitment of the Centre of Excellence. The centre will focus I have travelled across the State talking and Corporate Leadership Team and hard work and on best practice and develop bushfire policy listening to our volunteer and career workforce dedication of all staff and volunteers who have in collaboration with volunteers and bushfire and regional communities. This has been a contributed to the success of this year. science researchers and practitioners. It will valuable experience for me to connect with The future for DFES is bright, and I look forward become a centre for volunteers and broader people and better understand their concerns to working together to make a safer State as we bushfire communities to learn from each other and priorities. step into a new year. and from the science of bushfire management. During 2017-18 we have been committed to In addition, we have been working closely inclusiveness and diversity as we continue to with the Office of Emergency Management strive to reflect the communities we serve. We (OEM), preparing for amalgamation effective have commenced a review of our governance from 1 July 2018. The integration of OEM into arrangements and developed strategies DFES will bring a greater depth and breadth of dedicated to enhancing our workplace culture. knowledge of the hazards that may impact the Our intent remains on improving our organisation State and an enhanced capability to the State’s and building a modern inclusive and future ready emergency services. Our revised structure has emergency management agency. accommodated for OEM and we look forward to welcoming them to the organisation and On a personal note, it has been a tremendous providing support to the State Emergency privilege to lead and represent so many Management Committee. outstanding people. In reflecting on the first nine months of my tenure as Commissioner, With all the changes that have occurred, my I would like to thank the Minister for Emergency priority over the last six months has been to Services, Hon. Francis Logan and his staff for communicate to staff, as well as put into place their support. a greater emphasis on volunteer engagement.

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OUR YEAR AT A GLANCE 30 361 4,909 total fire ban days 344 new buildings inspected bushfires declared fires were caused by lightning strikes

Over 6,049 1,800mm volunteers attended 1,241 12,023 rain fell in the incidents structure fires 000 calls received 1,610 Kimberley response vehicles

4,578,075 19,201 30.1°C 1,123,701 litres of fire suppressant training hours provided was Perth’s average people visited the EmergencyWA website dropped by aircraft to volunteers summer temperature 3,747,014 times

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OUR YEAR AT A GLANCE

2,815 8,932 road crash rescues total fires

HAMAT 9,000 school children took part 629 270 in the Year 3 Home Fire hazardous situations Bushfire Ready Groups Safety Program

1,965 2,024 378 rescues (not road severe storm requests searches crash rescues) for assistance

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ORGANISATIONAL PROFILE

DFES is comprised of the: DFES also supports local governments in • Career Fire and Rescue Service (CFRS) administering, training and funding the Bush • Fleet and Equipment Technicians Fire Service and the participation of young • Public Service and Government Officers volunteers through our Emergency Services Cadets and junior programs. DFES is also • State Emergency Service (SES) responsible for the service level agreement • Volunteer Fire and Emergency Services for Surf Life Saving Western Australia’s 5,000 (VFES) volunteers who provide a range of essential • Volunteer Fire and Rescue Service (VFRS) services to the beach going community. • Volunteer Marine Rescue Services (VMRS).

The Fire and Emergency Services Commissioner is the Hazard Management Agency in Western Australia for:

HAMAT

Cyclone Flood Storm Tsunami Structure Hazardous Earthquake Fire Marine Safety Structural Search and Collapse Materials Fire escue Incidents

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KIMBERLEY

2 22 11 519 Indian Ocean Territory OUR LOCATIONS PILBARA AND RESOURCES Kununurra 2 27 11 664

MIDWEST GASCOYNE Broome KIMBERLEY 2 108 37 2,528 Metro North Coastal GOLDFIELDS MIDLANDS Port Hedland Karratha 3 132 34 3,496 PILBARA PERTH METROPOLITAN

31 94 1,409 4,760 Metro Joondalup North East GREAT SOUTHERN Perth Metropolitan 4 235 47 8,317 Area MIDWEST GASCOYNE Belmont SOUTH WEST

Geraldton 2 50 61 1,937

Metro DFES South East LOWER SOUTH WEST Emergency GOLDFIELDS MIDLANDS Services Kwinana Complex 1 122 13 4,899 Metro Kalgoorlie South INDIAN OCEAN TERRITORY Coastal Northam 0 5 0 110

Narrogin GREAT SOUTHERN TABLE LEGEND MAP LEGEND SOUTH WEST Bunbury DFES Emergency Services Complex Esperance DFES offices/career stations Paid personnel LOWER SOUTH WEST  Volunteer brigades/groups/ Total volunteers Regional offices Manjimup units (includes Bush Fire Service volunteers) Albany

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SHARED RESPONSIBILITIES WITH OTHER AGENCIES

Weather Warnings Arson Reduction State Operations Air Desk DFES and the Bureau of Meteorology (BOM) DFES works closely with the Western Australia DFES and Parks and Wildlife Service have joint each have a responsibility to ensure Western Police Force (WA Police) and the Department management responsibilities for the State’s Australian (WA) communities are informed of Biodiversity, Conservation and Attractions aerial suppression assets. The State Operations and supported in preparing for emergencies (Parks and Wildlife Service) to reduce arson. Air Desk operates from the Emergency caused by severe weather events. The agencies A joint agency campaign encourages the Services Complex, Cockburn. It is jointly have a close working relationship, underpinned community, particularly those vulnerable resourced to carry out the tasks of dispatch by a Memorandum of Understanding. A BOM to bushfire, to be vigilant against arsonists and co-ordination of fire surveillance and meteorologist is based in the State Operations and report suspicious behaviour. The DFES suppression aircraft. Centre and provides forecasting services to Extinguish Arson Database is an important tool support incident management. The primary that enables Fire Investigation Officers and WA State Emergency Rescue Helicopter Services objective is to improve response planning Police to identify trends and monitor suspicious DFES manages the contracts for the State’s two by providing incident managers with an fire activity to combat arson. emergency rescue helicopters. Sponsorship understanding of current and predicted is provided by the RAC and critical care weather conditions. Search and Rescue paramedics are provided under a contract WA Police has management responsibility for the arrangement with St John Ambulance. State’s air, land and marine search and rescue Helicopters and crews are provided under operations. DFES’ SES units and VMRS groups private contract. are tasked to carry these out and provide search and rescue teams and local area knowledge.

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ADMINISTERED LEGISLATION

Administered legislation and changes to Changes to written law written law The Firefighters and Emergency Volunteers DFES was established on 1 November 2012 and Legislation Amendment (Compensation) Act operates under the Fire and Emergency Services 2016 was assented to on 21 September 2016. Act 1998. Parts 2 and 3 of the Act commenced on 16 September 2017. Those parts: Administered legislation • provide uniform legislated insurance DFES administers the following Acts along with provisions for emergency services volunteers associated subsidiary legislation: carrying out statutory functions under the Fire • Bush Fires Act 1954 Brigades Act 1942, Bush Fires Act 1954 and • Emergency Services Levy Act 2002 the Fire and Emergency Services Act 1998 (the emergency services Acts) • Fire and Emergency Services Act 1998 • amend the emergency services Acts so if • Fire Brigades Act 1942. an emergency services volunteer or State employed firefighter contracts a prescribed cancer, it shall be a rebuttable presumption the disease is the result of performing a statutory firefighting function and is compensable.

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VISION, MISSION AND VALUES

Vision Mission Resilient Western Australian communities that To improve community safety practices and work together to build capability and capacity provide timely, quality and effective emergency to prevent, prepare for, respond to and recover services, in partnership with local communities from emergencies and emergency management partners

Values Put the Work together as a Respect and value Continuously Act with integrity Have open, honest Strive to keep community first committed team each other improve our and honesty and two way ourselves and We share the We cannot do it People are services We acknowledge communication others safe responsibility alone respected and DFES continuously that we are in DFES shares its We don’t put to prevent diversity is looks for better a position of objectives and ourselves or others and mitigate embraced at DFES ways to work trust and are an goals in harm’s way hazards with the example to others community

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CORPORATE STRUCTURE

CORPORATE STRUCTURE

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ORGANISATIONAL CHART AS AT Minister for 30 JUNE 2018 Emergency Services

Legend State Emergency Management Fire and Emergency Services Committee Commissioner

Denotes a member of the Corporate Leadership Team Succession Professional Health and Safety Executive Planning Standards Services

Operations Strategy and Emergency Management Corporate Services Rural Fire Division

Learning and Asset Planning Bushfire Centre Country Operations Development and Delivery of Excellence

Metropolitan Resilience Bushfire Risk Business Services Operations and Recovery Management Planning

Governance Bushfire Technical Human Resources Operations Capability and Strategy Services

Policy, Regulations Information and and Legal Services Communications Land Use Planning Technology

Risk, Capability Media and Corporate Office of Bushfire and Analysis Communications Risk Management

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Deputy Commissioner Commissioner Deputy Commissioner Mal Cronstedt AFSM Darren Klemm AFSM Lloyd Bailey AFSM (Strategy and Emergency (Fire and Emergency Services) (Operations Command) Management Command)

Commissioner Klemm was appointed on Deputy Commissioner Bailey has more than Deputy Commissioner Cronstedt has more than 18 September 2017. He has more than 27 years 40 years experience in fire and emergency 41 years experience in volunteer and career fire experience in fire and emergency services, services. and emergency services in NSW and WA. having served three years with the South Joining the WA Bush Fires Board in 1982, he Australian Metropolitan Fire Service before He held a number of roles within FESA before it became DFES, and was promoted to his current held various operational and support roles in joining the WA Fire Brigades Board in 1993. FESA and NSW before becoming the inaugural position in March 2012. Director, OBRM in 2012, the Executive Director of Commissioner Klemm is a member of a Deputy Commissioner Bailey holds a Diploma the State Emergency Management Committee number of national committees concerned with Secretariat in 2016 and re-joining DFES in 2018. emergency management in Australia, and holds of Fire Engineering Management, a Graduate a Graduate Certificate in Management from the Certificate in Applied Management from the He holds a Master of Business Administration Australian Institute of Management. He was Australian Institute of Police Management and from Curtin University, a Graduate Diploma awarded the Australian Fire Service Medal a Graduate Business qualification from Curtin in Disaster Management from Swinburne University and a Bachelor of Arts from Edith in 2017. University. He was awarded the Australian Fire Service Medal in 2003. Cowan University. He is also a graduate of the The Office of the Commissioner is made up of: Australian Institute of Company Directors, the Operations Command is made up of: Institution of Fire Engineers and the Australia • Executive • Country Operations and New Zealand School of Government’s • Health and Safety Services • Metropolitan Operations Executive Fellows Program. • Professional Standards • Operations Capability. Strategy and Emergency Management • Succession Planning. Command is made up of: • Governance and Strategy • Learning and Development • Policy, Regulation and Legal Services • Resilience and Recovery • Risk, Capability and Analysis.

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Mr Richard Burnell MBA, BBus Mr Murray Carter Assistant Commissioner (Acting Executive Director, (Executive Director, Graham Swift BBA Corporate Services Command) Rural Fire Division) (Country Operations)

Mr Burnell commenced at DFES in Mr Carter has extensive experience in rural fire Assistant Commissioner Swift has 38 years September 2015 as Director Information and management. experience in fire and emergency services, having Communications Technology, before taking on commenced as a volunteer firefighter in 1980. the role of Acting Executive Director. He commenced with the then Forests Department as a 17 year old cadet and spent He holds a Bachelor of Business Administration He has more than 30 years experience 13 years with Conservation and Land from Curtin University and is a graduate of the in accounting and finance, commercial Management conducting prescribed burns and Australian Institute of Company Directors. management, business re-organisation and fighting large scale bushfires in country WA. change management, business process re- Country Operations is responsible for: engineering, cost management and project He was then CEO, Lord Howe Island before • Delivery of operational services in regional delivery of enterprise-wide programs, from a working with the State Government, including areas through the CFRS, VFRS, VFES and SES range of private sector industries in Australia the Department of Parks and Wildlife and DFES • Supporting local governments in areas of the and overseas. leading key reforms in rural fire management. administration, training and funding of the BFS.

Mr Burnell holds an MBA qualification from He serves on various Boards and Committees, the University of New England (NSW) and a is the current Chair of the Australasian Fire and Bachelor of Business from WA Institute of Emergency Services Authorities Council Rural and Technology (now Curtin University). Land Management Group and as Board Director of the International Association of Wildland Fire. Corporate Services Command is made up of: The Rural Fire Division is made up of: • Asset Planning and Delivery • Bushfire Centre of Excellence • Business Services • Bushfire Risk Management Planning • Human Resources • Bushfire Technical Services • Information and Communications Technology • Land Use Planning • Media and Corporate Communications. • Office of Bushfire Risk Management.

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Acting Assistant Commissioner Assistant Commissioner Assistant Commissioner Rick Curtis Gary Gifford ESM Paul Ryan (Resilience and Recovery) (Operations Capability) (Learning and Development)

Acting Assistant Commissioner Curtis has Assistant Commissioner Gifford has more Assistant Commissioner Ryan has 30 years 25 years experience in policing and fire and than 40 years experience in the defence and experience in fire and emergency services. emergency services. emergency services industries. He is a Graduate of the Australian Institute of He has broad experience in urban and rural He has been involved in emergency Company Directors, holds a Graduate Certificate firefighting and natural hazard events at the management at a national level for more than in Applied Management and an Advanced incident, region and State level, having served in 15 years and holds a Graduate Certificate Diploma of Management. both metropolitan and regional WA. in Emergency Management. Assistant Commissioner Gifford was awarded the Learning and Development is responsible for: He holds Graduate Certificates in Applied Australian Emergency Services Medal in 2010. • Campus Management and Business Services Management and Business. • Command and Academic Delivery Operations Capability is responsible for: Resilience and Recovery is responsible for: • Operational Delivery • Aviation Services • Built Environment • Training Practices and Readiness. • Marine Rescue Services • Community Preparedness • Special Operations • Operations Research and Development • State Operations Centre. • State Recovery Function.

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Assistant Commissioner Brad Stringer (Metropolitan Operations)

Assistant Commissioner Stringer has 29 years experience in fire and emergency services.

He is a Graduate of the Australian Institute of Company Directors.

Metropolitan Operations is responsible for: • Delivery of operational services in metropolitan areas through the CFRS, VFRS, VFES and SES • Supporting local governments in areas of the administration, training and funding of the BFS • State Wide Operational Response Division.

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CURRENT AND EMERGING ISSUES AND TRENDS

Machinery of Government This exciting initiative will strengthen the critical This funding of $15 million is in addition to, and DFES has experienced considerable change role volunteers play in contributing to WA’s will augment, the existing Mitigation Activity over the past 12 months, including the emergency service capability at State, regional Fund, established in November 2017 to support implementation of an organisational restructure and local levels. The Rural Fire Division will eligible local governments to undertake bushfire as a result of Machinery of Government also enable a greater focus on mitigation and mitigation activities identified through the BRMP reform. Effective from 1 July 2018 the Office expand DFES’ responsibilities to manage and program. of Emergency Management will be formally reduce bushfire risk. integrated with DFES. Preparations for the Mitigation and Recovery DFES will employ Volunteer Liaison Officers in successful amalgamation have been undertaken the regions to ensure communication between Commonwealth funding support for emergency to ensure an effective transition. DFES, the State Government and the local management mitigation and recovery is subject to review with the potential to change the level Other major changes for DFES include creation volunteers is open and valued. and type of investment in WA. Negotiations of the Rural Fire Division and increased funding with the Commonwealth on a revised National for Bushfire Risk Management Planning. Bushfire Risk Management Planning Partnership Agreement are currently underway. The recent rural fire reform package included Rural Fire Division substantial new investment in bushfire The continued effect of climate change Following the recommendation from the prevention, with an additional $15 million to continues to be demonstrated through the Ferguson report into the January 2016 extend the Bushfire Risk Management Planning increased severity and extent of natural Waroona Fire, DFES in response to the State (BRMP) program and a further $35 million to hazards. These require effective mitigation Government’s decision, has established a Rural carry out bushfire mitigation activities on State- strategies to address their physical, social and Fire Division. The new Division will improve owned or managed land. economic impact on the community, for which a collaboration, communication and support significant investment in bushfire mitigation The additional $15 million BRMP funding between DFES’ staff and volunteers. (as noted above) has been approved through will assist in expanding the network of local the budget process. governments participating in the program.

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Emergency Services Act Aluminium Composite Panels Emergency Services Levy Review Drafting of the new Emergency Services In response to the Grenfell Tower fire in West The Economic Regulation Authority’s (ERA) Act is anticipated to commence in 2018-19. London on 14 June 2017, the Department review into the Emergency Services Levy The proposed legislation will amalgamate of Mining, Industry Regulation and Safety – (ESL) reaffirmed the ESL system as a fair and and modernise current emergency services Building Energy (DMIRS), is coordinating an equitable model of funding our emergency Acts and clarify DFES’ and the community’s audit of State owned buildings and privately services. responsibilities for prevention, preparedness, owned apartments, hotels and public assembly response and recovery. buildings greater than two storeys high with DFES is increasing the transparency of ESL Aluminium Composite Panels (ACPs) in WA. expenditure to ensure it remains a fair and equitable levy for property owners, based on a Legacy Firefighting Foams DFES conducted an audit of its 158 buildings simple and cost effective basis of determination. During 2018-19, DFES will continue the and identified seven buildings as possibly being investigation at its current and former sites into clad in ACPs. An independent fire safety risk The importance of bushfire prevention was the possible presence of chemical residue from review was conducted on the seven buildings highlighted in the ERA report. The State legacy firefighting foams. and six of those were assessed as low risk. Government has provided significant investment in bushfire risk mitigation activities on behalf Geographic Information System based risk The Emergency Services Complex (ESC) at of the State; continuing with bushfire risk assessments are being undertaken to prioritise Cockburn was assessed as medium risk. management planning; investing in a Bushfire the 162 current and former properties for The State’s insurer, RiskCover, was Centre of Excellence to enhance capability in further investigation. commissioned by DMIRS to review the risk rural fire management and to continue the Office to buildings from an insurance perspective of Bushfire Risk Management’s focus on the and recommend remediation works where collaborative aspects of rural fire management appropriate. Both reports concluded that parts across all government agencies, local of the ESC are clad in ACPs and recommend government and the non-government sector. partial replacement of the panels on the exterior of the building. This work will commence before December 2018.

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It is acknowledged by the State that increased To increase transparency and awareness and Data Sharing funding directed towards prevention rather share how the ESL is spent to protect our DFES is aware the intent of the State’s Open than response and recovery will have a greater communities, a flyer has been re-introduced for Data Policy requires that by default information financial benefit to the State, addressing one of 2018-19. It is being sent with local government should be publicly available unless there is a the key themes in stakeholder comments in the rates notices and is available on DFES’ website. compelling reason to the contrary. Ferguson Inquiry. In addition to reporting costs by major activities Accordingly, all information relating to DFES’ An expanded State Bushfire Advisory Council performed, DFES is reviewing how to report ESL operations including the ESL, is available on its will provide greater collaboration and input from expenditure by local government. website and in this Annual Report. Additionally stakeholders on bushfire management. DFES is aware of the value of improving Capability Framework interoperability by sharing data. With WA Police, ESL Referral and Grants Advisory Committee Work has commenced to implement DFES’ we are delivering an integrated emergency call An independent ESL Referral and Grants Capability Framework with the development of taking and response dispatch system. It will Advisory Committee will also be established a high level implementation plan as a priority share data in real time to improve incident and and resourced under Ministerial direction. to establish the foundations for improved emergency response. The proposed model will: transparency around funding decisions. DFES and the Parks and Wildlife Service are • assess appeals that may arise from the Local Implementation of the Capability Framework working together to share vehicle location data Government Grants Committees will support an integrated approach to planning and improve situational awareness and frontline • be an independent source of ESL and grants and resource allocation that: crew safety. related advice to the Minister • clarifies roles and responsibilities assigned to • monitor the collection and expenditure DFES continues to work closely with the Office DFES under legislation patterns of the ESL of Digital Government (previously the Office of • prioritises funding and resourcing based on the Government Chief Information Officer) to risk assessment It is important to note that, consistent with ensure storing and publication of data aligns current practice, the State Government (through • supports equitable resourcing decision making with the State Government’s policy and strategy the Expenditure Review Committee) will • improves transparency in financial reporting, to support a culture of data sharing. determine ESL rates and expenditure as part of through aligning projects to community the annual Budget process. outcomes, performance measures and service activity.

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Volunteer Services We are committed to advocating for volunteer groups and continually reviews our service delivery model to ensure it is fair and equitable across all volunteer services. We provide buildings, plant, vehicles and equipment as well as uniforms and protective clothing for all volunteer services on the basis of operational requirements. We are now working with the Western Australian Local Government Association to simplify the Local Government Grant Scheme grants manual funding guidelines to make it easier for local governments to successfully support volunteer operations.

A recent review of DFES’ support to VMRS identified an opportunity to increase and standardise the type and level of support provided to bring it in line with other volunteer services. This year the State Government has provided unprecedented support to the VMRS through a significant increase in funding commencing 2018-19 to ensure they can continue to protect our coastline.

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Performance Management Framework

Changes to Outcome Based Management Government Goal Strong communities: Framework Safe communities and supported families DFES received approval for the following changes to its Outcome Based Management Framework in 2017-18. • The Key Performance Indicator (KPI) titled Outcome Based ‘Proportion of hazardous materials sites Management Framework with current Fire and Emergency Service Emergency Response Guides (FES ERG)’ was revised to ‘Proportion of dangerous goods Outcome 1.Minimised occurrence and Outcome 2. Minimised impact of sites with a current FES ERG’. impact of preventable emergencies natural hazard emergencies • The KPI titled ‘Average cost per Fire and Service 1. Community Awareness, Service 2. Compliance and Technical Emergency Service Emergency Response Education and Information Services Advisory Services Guide reviewed’ has been removed as it did not accurately represent the Service. • The counting rules for the KPI titled ‘Average Outcome 3. An operational workforce Outcome 4. Minimised impact from cost per engaged local government to that is trained and equipped to respond emergencies through timely and effective response support Bushfire Risk Management Service 3. Training and Organisational programs’ have been amended to better Resourcing Services Service 4. Frontline Services reflect the true cost of supporting local governments to develop Bushfire Risk Management Plans. Road map and targets in measuring performance and ensuring our accountability to These changes, reflected in this reporting Government and key stakeholders period, provide more meaningful indicators to increase the community’s understanding of DFES’ operations and accountability for expending public monies. Defined Effectiveness and Efficiency Indicators

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REPORT ON OPERATIONS

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Resource Agreement (Treasurer’s Instruction 808) The following performance information (financial and non-financial) is the subject of a Resource Agreement signed by the Minister for Emergency Services, DFES and the Treasurer under Part 3, Division 5 of the Financial Management Act 2006. Resources are provided for the delivery of four services, which are linked to four agency level outcomes. Minimised occurrence and impact of preventable emergencies An operational workforce that is trained and equipped to respond Community Awareness, Education and Information Services. Training and Organisational Resourcing Services.

Minimised impact of natural hazard emergencies Minimised impact from emergencies through timely and effective Compliance and Technical Advisory Services. response Frontline services. FINANCIAL TARGETS SUMMARY

FINANCIAL TARGETS SUMMARY (FURTHER DETAIL IS PROVIDED IN THE FINANCIAL STATEMENTS) Performance is monitored against financial targets and through our Key Performance Indicators. Performance results for 2017-18 are shown below. Further explanations are contained in Note 9.11 ‘Explanatory statement’ to the Financial Statements. 2017-18 2017-18 Target Actual ($’000) ($’000) Variation Reason for Significant Variation between Target and Actual Total cost of services 395,509 398,595 3,086 The variance is mainly due to unanticipated expenditure on wildfire (expense limit) suppression and SES response and recovery operations. (sourced from Statement of Comprehensive Income) Net cost of services 23,506 18,527 (4,979) The variance is mainly due to unanticipated expenditure on wildfire (sourced from Statement of suppression and SES response and recovery operations. Comprehensive Income) These increases in expenditure were offset by additional revenue recognised due to higher than anticipated assessment of the ESL liability on properties and false fire alarm incidents subject to charging.

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2017-18 2017-18 Target Actual ($’000) ($’000) Variation Reason for Significant Variation between Target and Actual Total equity 402,732 402,245 (487) The variance mainly reflects the decrease in property, plant and equipment and inventory on hand resulting from significant changes to the appliance build (sourced from Statement of programs with the flow on impact reflecting an increase in cash on hand. Financial Position) This is expected to reverse in future years as the new appliance build programs commence. Net increase/(decrease) in cash (17,646) 8,892 26,538 The increase in cash balances largely reflects the additional revenue collected held from higher than anticipated assessment of the ESL liability on properties and false fire alarm incidents subject to charging partially offset by the unforeseen (sourced from Statement of costs related to wildfire suppression and SES response and recovery, in Cash Flows) addition to the decrease in property, plant and equipment and inventory on hand resulting from significant changes to the appliance build programs. Approved salary expense level 179,607 180,775 (1,168) The variation arose mainly due to the State Government voluntary severance scheme, partially offset by savings achieved following the departure of personnel and the increase in the discount rate which had the effect of reducing the annual leave and long service leave provisions. Agreed borrowing limit 43,196 38,996 (4,200) The variation is largely due to delays in the DFES capital works program and hence the reduced need for borrowing in 2017-18 to fund this program.

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KEY PERFORMANCE INDICATORS – OUR FOUR OUTCOMES To keep track of how we’re performing, we have a series of Key Performance Indicators (KPIs), which are linked to each of our four outcomes. The following table summarises how we performed against each effectiveness KPI during 2017-18. Further information is provided in the Key Performance Indicators section of this report. Explanatory Target Achieved Status notes page KEY ✔ We are achieving our goals Outcome 1: Minimised occurrence and impact ✖ Desired result not achieved of preventable emergencies – taking action Number of accidental residential structure fires 65 56.2 ✔ 147 per 100,000 households Proportion of dangerous goods sites with 90% 99.12% ✔ 148 current Fire and Emergency Services Emergency Response Guide (FES ERG) Proportion of building plans assessed within 95% 97.58% ✔ 149 specified timeframe Outcome 2: Minimised impact of natural hazard emergencies Number of community based Bushfire Ready 257 270 ✔ 151 Groups established Outcome 3: An operational workforce that is trained and equipped to respond Number of operational personnel endorsed 22 23 ✔ 154 as L3 Incident Managers Proportion of DFES operational volunteers 43.5% 46.62% ✔ 155 actively engaged in Pathways training

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Explanatory Target Achieved Status notes page Proportion of assets within specified replacement 85% 85% ✔ 156 period parameters Proportion of first round Local Government Grant 70% 71.71% ✔ 157 Scheme offers accepted Outcome 4: Minimised impact from emergencies through timely and effective response Proportion of responses to ESL 1 and ESL 2 90% 90.84% ✔ 159 incidents within target timeframes Proportion of DFES volunteer turnouts within 90% 92.27% ✔ 160 target timeframes Proportion of structure fires confined to object or 72% 75.76% ✔ 161 room of origin Proportion of Level 2 and Level 3 bushfires where 95% 96.08% ✔ 162 no structures are lost or significantly damaged

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KEY PERFORMANCE INDICATORS – OUR FOUR SERVICES

As well as measuring our performance against the four outcomes, our objective is to provide services in a prudent and cost-effective manner. The following table summarises how DFES performed against each efficiency KPI during 2017-18. Further information is provided in the Financial Statements and Key Performance Indicators section of this report. KEY Explanatory ✔ We are achieving our goals Target Achieved Status notes page ✖ Desired result not achieved Service 1: Community Awareness, Education – taking action and Information Services Average cost per WA household to deliver $8.66 $8.17 ✔ 150 emergency hazard information and awareness programs Service 2: Compliance and Technical Advisory Services Average cost per building plan assessed $305 $255.78 ✔ 152 Average cost per engaged local government to $26,870 $125,663.74 ✖ 153 support Bushfire Risk Management programs Service 3: Training and Organisational Resourcing Services Average cost per participant to deliver $1,733 $1,102.32 ✔ 158 operational Pathways training Service 4: Frontline Services Average cost to deliver frontline services per $102.18 $102.26 ✖ 163 Western Australian

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OUR OPERATIONS

DFES focuses on preventing, preparing for and responding to emergencies.

Every year DFES personnel respond to more than 28,000 incidents, as well as helping to prevent many more. We also work hard to prepare for emergencies should they happen.

Whether on land, sea or by air, we are proud to be able to help make WA a safer State, and we constantly strive to improve our services, putting the community at the heart of everything we do.

Our report on operations provides a snapshot of how we are performing. It includes operational and financial targets, as well as some of the year’s highlights and challenges.

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OUR FOCUS – FOUR OUTCOMES

Our aim is to help build a safer and more resilient WA community. To help achieve this and to see how we’re tracking, we have four outcome areas that we focus on and measure our performance.

1. Minimised occurrence and impact of preventable emergencies Our work helps prevent emergencies from occurring. We do this by engaging with communities to raise awareness about how to prepare for emergencies and prevent them from happening. Our activities include education sessions, awareness raising campaigns, information services and regular inspections.

2. Minimised impact of natural hazard emergencies We live in an environment with many natural hazards. The diverse WA landscape presents a variety of natural hazards and challenges including bushfire, flood, storm, tsunami, cyclones as well as earthquake.

Our aim is to help reduce the impact of hazards to build resilient WA communities that are better able to recover from natural disasters should they occur. Our activities include bushfire mitigation support, compliance and technical advice, and inter-agency knowledge sharing.

3. An operational workforce that is trained and equipped to respond Our frontline teams are on standby 24/7. It’s vital they have the right equipment and training to enable them to effectively respond and support the WA community before, during and after an emergency event or incident. That’s why we invest time and resources to make sure our career and volunteer workforce are fully trained, equipped and operationally ready to meet the needs of our state.

4. Minimised impact from emergencies through timely and effective response When emergencies happen, we are there to respond quickly to help the affected communities. We measure our response times, the effectiveness of our response and constantly look for ways our frontline teams and other agencies can work together to best support the community in times of crisis.

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OUR KEY ACHIEVEMENTS

• Established a new Rural Fire Division. • Won the IPAA Best Practice in Health and • Re-launched the Home Fire Safety Program, Wellbeing Award for the DFES Mental Health reaching more than 9,000 Year 3 students. First Aid program. • Rolled-out fire risk management workshops • Received commendations for the following for strata property owners. IPAA awards: • A renewed focus on enforcing total fire bans • Finance Practitioner of the Year Award. through actively targeting and recording • Information Technology Practitioner of the breaches. Year Award. • Launched the ‘Are You Bushfire Ready?’ • Shortlisted finalists for the Best Practice in campaign. Collaboration Between Government and • Introduced ‘Fire Chat’ – a new suite of Non-Government Organisations, for the bushfire planning and preparation tools for following programs: the community. • DFES Computer Aided Dispatch • Undertook flooding research to develop new Replacement Program. community preparedness initiatives. • 2017 WA Fire and Emergency Services • Commenced a firefighting training partnership Conference. with Newmont’s Boddington Gold Mine. Further information on these achievements, as • Recognised a record 91 businesses for well as other activities we undertook to deliver supporting emergency service volunteers. the four outcomes during 2017-18, is provided • Won the OpenGov Australasia award for on pages 31 to 52. Excellence in Digital Transformation for our pioneering collaboration work with WA Police to deliver an integrated Computer Aided Dispatch system.

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OUTCOME 1

Bringing fire safety home from school Teachers who sign up for the Home Fire Safety Minimised occurrence More than 1,200 home fires occur across WA Program receive free resources and support each year. To help promote fire safety in the to help students become better prepared to and impact of preventable home, and to help families understand what to prevent and respond to home fires, including: do in the event of a fire, we have re-launched our • knowing what to do in a fire drill emergencies popular Home Fire Safety Program for schools. • making choices and decisions to prevent a fire from occurring Targeting students in Year 3, firefighters have • understanding the actions to take if there is a visited schools to talk with children and their fire in their home. teachers about how to prevent and respond to home fires. During 2017-18, career firefighters visited 216 schools, reaching more than 9,000 students from across the State. This is a 15% “The children were so very increase compared with 2016-17. excited and enthusiastic and Developed by DFES’ education team, the you ‘made their day’. I am sure refreshed program links to the WA curriculum and encourages children to share what they that now they will all go home have learned with their families and prepare and spread the word to their a home fire escape plan. This approach helps increase fire safety awareness and families about how they must preparedness throughout the household, keep safe and what to do.” building safer and more resilient communities. Kerry King, Infant Jesus School Morley

Our Home Fire Safety Program for Year 3 students

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To support all school aged education programs, Fire risk management for strata property in October 2017 the DFES education team owners began conducting professional development In September 2017, DFES commenced a series sessions for all school staff. So far they have of workshops designed to help strata property held 10 sessions for 167 people from the owners identify fire hazards at their properties Metropolitan, Lower South West, South West, and understand what ongoing action they must Midwest Gascoyne, Kimberley and Great take to manage risk. Southern regions. The workshops are particularly poignant To organise a firefighter visit, teaching staff following the June 2017 Grenfell Tower fire in can visit the DFES school education website or London, which highlighted the danger of non- email [email protected].​ compliant cladding and combustible material in building structures. Bushfire patrol comes to Kimberley schools Bushfire Patrol to combat bushfires in the Kimberley Working with the WA Building Commission, the More than 60% of bushfires in the Kimberley The program includes a multimedia resource September workshop, discussed: during 2016-17 were deliberate, suspicious, or pack containing hands-on activities to help • the issue of non-compliant cladding and how caused by human activity. school students: insurers are responding to it • know how to identify safe and unsafe fire To help combat this issue, we have developed • general risk management and factors to be behaviour and unsafe fire times and risks a new school education program designed for considered • develop a range of skills to help them respond the unique challenges posed by the harsh yet • planning for an emergency. beautiful Kimberley environment. to bushfire when it occurs • develop personal behaviours and strategies The session was attended by strata managers Developed in collaboration with local Aboriginal for staying safe when there is a fire and owners and industry professionals. ranger groups and the Parks and Wildlife • understand the impact of deliberate fires on Service, the ‘North West Bushfire Patrol’ their communities and the environment. program provides teachers in the Kimberley region with geographically and culturally Launched in April 2018, the North West Bushfire appropriate resources to teach students about Patrol program aims to reduce the number of bushfires and how to prevent them. preventable bushfires in the region.

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Additional workshops were held throughout the To combat the threat of an out of control fire, We are also collaborating with the Parks year, posing two key questions: DFES is proactively investigating TFB breaches, and Wildlife Service, WA Police, and local issuing warning notices and taking action to governments, who have the authority to enforce “Are you concerned about the prosecute serious offences. TFB breaches to ensure repeat offenders are dealt with. cladding on your building or a During 2017-18, we identified five potential TFB prosecutions, issuing two warning notices and TFBs are broadcast the day before they come building that you manage”? one exemption breach notice. We also pursued into effect on emergency.wa.gov.au but can be one TFB breach prosecutions and issued two declared at any time. The ban prohibits lighting “Do you think you’re doing infringements. of any open air fires and includes deliberately lit fires, burn offs, cooking with open fire appliances, everything you can to minimise While this was the first year we have actively campfires, or carrying out business activities that been targeting and recording TFB breaches and fire risk and satisfy your duty could start a fire including the use of incinerators, sanctions, we believe that our greater focus will welding, grinding, soldering or gas cutting. of care”? help reduce the number of TFB incidents. The workshops were well received and we Notably, the number of incidents on TFB days Changing lives – the 2017 WAFES Conference will continue to work with the WA Building identified by DFES reduced by 36% during September 2017 saw the WA Fire and Commission and Strata Title Australia to deliver the 2017-18 bushfire season compared with Emergency Services Conference take industry similar training throughout 2018-19. 2016-17, despite there being more TFB days collaboration to new levels, as we increased our declared during 2017-18. Though this reduction focus on working with other agencies to prevent Getting tough on total fire ban breaches in incidents cannot be entirely attributed to our and better respond to emergencies. Our records show that almost one third of out proactive investigations, our renewed focus on Themed around changing lives, the seventh of control fires on total fire ban declared days TFBs will help continue this downward trend. (TFBs) start as a result of banned fire activity. annual conference offered a diverse array of speakers including the Director General People who ignore TFBs are being targeted of Emergency Management Australia Mark under a new scheme aimed at educating Crosweller AFSM. Western Australians on the dangers of breaching a ban, as well as identifying serious The program included facility tours, workshops, demonstrations and an exhibition hall filled with offenders and where appropriate, prosecuting. interactive booths and the latest in appliance technology, including the RAC Rescue virtual reality experience.

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As always, the ceremonies for the VMRS, SES The importance of knowledge-sharing to Since the scheme began we have issued more Awards and Firefighting Awards were a highlight help prevent emergencies was highlighted than 7,000 invoices. We have also been working of the conference, celebrating the outstanding though the conference’s nomination for an proactively with property owners and managers efforts of dedicated emergency service IPAA Award for Best Practice in Collaboration to identify ways to reduce false alarms. These volunteers in protecting WA communities. Between Government and Non-Government can range from behavioural change to fixing Organisations. system faults that may be causing the alarms.

Designed in partnership with emergency The scheme has been successful, with the services volunteers, the conference attracted number of false DBAs reducing by 5% over the more than 700 delegates and provided past year. volunteers with an opportunity to enhance their knowledge and skills, as well as meet with their peers from across the State.

Changing false alarm fire behaviour 2017-18 saw the continued push to reduce the number of false fire alarms from properties with a Direct Brigade Alarm (DBA) connection. Around one-third of incidents our firefighters attend are false alarms – that’s about 10,000 incidents per year.

It is vital emergency services are able to focus on real emergencies, which is why in 2015‑16 DFES commenced charging for false fire alarm attendances. Notifications are issued to property owners for the first three attendances, before an invoice is sent upon the fourth and Emergency services volunteers at the WAFES Conference consecutive attendances. This helps reduce the number of false fire alarms.

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How we performed against the KPIs We are also outperforming our other proactive Put simply, preventing emergencies is the best emergency prevention measures, with more way we can help protect and build more resilient than 99% of dangerous goods sites having a communities. current FES ERG, and more than 97% of building plans assessed within specified timeframes. Over the past year we have seen progress against some of the key measures of how we These KPIs measure some of the activities we can help prevent emergencies. undertake to help minimise the occurrence and impact of preventable emergencies. While There have been fewer accidental residential progress has been positive, we will remain structure fires per 100,000 households than our vigilant and continue to focus on proactive target, which is testament to the proactive work emergency prevention. in schools and the community to help people be fire safe in the home.

Indicator

Number of accidental residential structure fires 65 per 100,000 households 56.96

Proportion of dangerous goods sites with current 90% Fire and Emergency Services Emergency 99.12% Response Guide

Proportion of building plans assessed within 95% Target specified timeframe 97.58% Result

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OUTCOME 2

New Rural Fire Division established Led by Executive Director Murray Carter, who In April 2018, the State Government announced has more than 30 years’ experience in rural fire Minimised impact of the provision of $80 million for the creation of a management, the new Division incorporates Rural Fire Division within DFES. The new Division OBRM, the Bushfire Centre of Excellence, natural hazard emergencies includes the establishment of a new $18 million Bushfire Risk Management Program and Bushfire Centre of Excellence, additional funding its related activities, Land Use Planning and for bushfire mitigation activities, plus a range of Bushfire Technical Services. new support measures for volunteers. The Bushfire Centre of Excellence aims to The reform package includes substantial new improve rural fire management outcomes investment in bushfire prevention, with an through leadership, collaboration and innovation additional $15 million to extend the Bushfire across the sector. The initial and primary focus Risk Management Planning Program and $35 of the Bushfire Centre of Excellence will be to million to fund bushfire mitigation activities. enhance the coordination and delivery of rural fire management training in WA. It will draw The Division has been created in response to together the significant expertise of volunteers the Report of the Special Inquiry into the January and local communities, along with state and 2016 Waroona Fire and community feedback, local government, industry and research which highlighted the value of decentralising organisations. rural fire management when supporting regional communities. OBRM’s Assurance Program continues to provide oversight in the management of risk It aims to reduce WA’s bushfire risk across the for conducting planned burning activities. This State, increase community resilience and forge will become more important as organisations stronger relationships with the State’s bushfire engage in planned burning as part the Bushfire volunteers. Risk Management Planning Program. The Rural Fire Division will support volunteers to reduce bushfire risk. Photographer – Sean Bocksidge.

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In March 2018, the Kimberley Land Council were The ‘Are You Bushfire Ready?’ campaign was Encouraging people to have a plan helps formally endorsed by OBRM and commenced run by DFES and supported by the Department members of the community understand the involvement in the Assurance Program. of the Premier and Cabinet reinforcing the actions they all need to take and helps to avoid The Council are the third organisation to be message that bushfire is a shared responsibility. making last minute decisions that could end up endorsed by OBRM. Others are DFES and Parks Preparing for and responding to bushfires is being deadly. and Wildlife Service. very much a team effort and everyone needs to play their part. Fire Chat To make sure local volunteers have more input To help residents be better prepared for the into bushfire management, Volunteer Liaison The campaign launch was held in Argyle- bushfire season, we have introduced a new Officers will facilitate communication with DFES Irishtown, in the Shire of Donnybrook-Balingup, online suite of bushfire planning and preparation and the State Government. Volunteer Support where the community has faced two major tools called Fire Chat, available at Officers will be established in the regions to help bushfires in the last three years. www.dfes.wa.gov.au/firechat. volunteers with administrative duties. The campaign highlights that one of the best The first step of the five-minute ‘Fire Chat’, asks Establishing better links with regional volunteers ways to be prepared for bushfires is to have people who live in a high bushfire risk area to means communities benefit from the vast good relationships with neighbours and an have a quick chat at home with their families and knowledge and experience of local volunteers, understanding that you will contact each other friends and answer three key questions about who understand the unique characteristics of in an emergency and keep each other safe. what they will do in the event of a bushfire: their environment and how to support their It also aims to encourage people in regional • When will you know to leave? communities. communities to sit down with their families, or • Where will you go? Working together in this way will help make sure talk to neighbours, and have a chat about what • Which way will you go? we are doing all we can to prepare for the hotter, they will do if threatened by bushfire. drier summers ahead.

Are You Bushfire Ready? In October, we launched the 2017 ‘Are You Bushfire Ready?’ campaign, urging people living near bushland in metropolitan and regional areas not to be complacent when it comes to preparing for bushfire. Fire Chat site link 

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The next step is to view and download the DFES’ Research Committee Severe Winds Assessment Project Bushfire Preparation Toolkit, which includes DFES recognises the value of acquiring, DFES has commenced work to better a series of action plans and advice for either applying and sharing knowledge and expertise understand the potential impact of cyclones and leaving or defending properties, including from research. A Research Committee has been major storms on population centres and critical how to prepare your property and emergency established to drive and coordinate research infrastructure, to help minimise their impact and equipment. initiatives across the organisation. It ensures build community resilience. The website also prompts people to consider individual research projects are working towards overarching business and strategic objectives. The Severe Winds Assessment Project is a some “what if” scenarios. These include joint project between DFES and Geoscience questions such as: The Committee meets quarterly to endorse new Australia, with support from the National • What if your children are at home and you’re research proposals, review research underway Disaster Resilience Program. The aim of the at work when a bushfire starts? and promote the inclusion of outcomes into project is to provide DFES and other emergency • What if you’re hosting a barbeque with lots of emergency management across the State. management agencies with information people and there’s a bushfire in the area? The research aims to address key challenges for required to prepare for tropical cyclones and • What if you need to leave but the road is cut emergency service providers and the community help WA communities recover from them. off by fallen trees? and often includes developing cooperative relationships with research institutions to The project, which commenced in July 2017, Many people tend to wait and see before enhance research capacity and perspective. will run over two and a half years. Phase 1 they make a decision to leave. This can have (2017-18) focuses on the Kimberley and Pilbara devastating consequences, as was tragically It seeks to improve the uptake and nurture the regions, Phase 2 (2018-19) will focus on the evident in Victoria’s 2009 Black Saturday fires, growth of research activities across DFES. which tragically killed 173 people. It has introduced a scholarship program to By encouraging people to have a fire chat, encourage research into specific areas by and developing a plan for what they will do in monitoring knowledge gaps and learning a number of bushfire emergency scenarios, synergies. The Committee ultimately aims to we are helping to reduce the potential impact develop a culture where innovative solutions of bushfires and providing the tools to keep are matched to a better understanding of the individuals and their loved ones safe. emergency service needs of the community.

We continue to reinforce the message that if you see smoke and flames act immediately – don’t wait for an emergency warning. Storm impacts to be reduced through research

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Midwest – Gascoyne and Metropolitan regions, Based on this research DFES has commenced State Hazard Plans and Phase 3 will be training in the use of the working in partnership with Royal Life Saving The Emergency Management Act 2005 provides Tropical Cyclone Risk Model, which is being Australia WA to develop a pilot program in the that the State Emergency Management developed as part of the project. Fitzroy Crossing community that focuses on Committee (SEMC) must arrange for the teaching young people about safety around preparation of State Emergency Management The project will model a number of scenarios of waterways, especially rivers. cyclone impact for Carnarvon, Geraldton, Perth, Plans. In WA, these are known as State Hazard Broome, Port Hedland, Karratha/Dampier, and We aim to launch the pilot in 2019 and plan to Plans (SHPs) (formerly Westplans) and provide Exmouth. Information from the project will also expand and replicate the program across the strategic, State-level arrangements for managing be applied to other DFES modelling tools for Kimberley. the particular hazards to which they apply. DFES other communities and emergency scenarios. is responsible for nine SHPs, covering a range of natural and man-made hazards. Flood research to aid community SHPs are reviewed every five years, or as required. preparedness DFES consults with relevant stakeholders to During the summer and wet season of early ensure the plans are current and meet community 2017, the Kimberley and Pilbara regions and emergency service agency needs. experienced severe flooding, resulting in four fatalities. To help understand what more can be SHPs are tested through incident activation done to reduce the risk of flooding, in 2017-18 or inter-agency operational exercises. The DFES commissioned research to: exercises provide opportunity to improve how • understand community and key stakeholder the WA emergency services, government behaviours and thinking in relation to risks agencies and the community can respond due to flood to and recover from major emergencies by Flood water damage at Fitzroy Crossing • provide sound data on which to base clarifying legislative responsibilities, testing community engagement initiatives to reduce systems and procedures, identifying gaps and flood fatalities in WA. improving inter-agency co-operation.

The research provided insights into people’s The frequency of operational exercises is behaviour around floodwater, particularly young determined by the SEMC. The following table people and motorists who attempt to enter shows the operational exercises (or actual floodwater. incidents) where DFES’ plans were tested during 2017-18.

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All State Hazards Plans are current

Cyclone Flood Storm Tsunami Structure Chemical iological Earthquake Fire Collapse adiological and Nuclear SHP tested Activation / Exercises Date Exercise Jaguar State level multi-hazard earthquake, building collapse and hazardous material exercise 19 August 2017 AAT

Exercise Centum Metropolitan multi-agency response to a weaponised chemical agent exercise 1 May 2018 AAT

Exercise Ember State level multi-agency bushfire exercise 21 July – 2 August 2017

Exercise Nimbus State level natural hazard exercise, based on an extreme weather event across Western 11 May 2018 Australia Heath Ledger Theatre Metropolitan multi-agency exercise 21 September 2017 AAT

Canning Dam Exercise Metropolitan multi-agency exercise with Perth water supply under threat 27 September 2017 AAT

Exercise Air Utility Bravo field deployment in support of regional ground crews exercise 7 February 2018 AAT

HEAT18 State level multi-agency exercise of transportation of hazardous materials 3 May 2018 AAT

Tropical Cyclone Joyce 8-16 January 2018 Tropical Cyclone Kelvin 15-19 February 2018 Tropical Cyclone Marcus 17-20 March 2018

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How we performed against the KPIs In 2017-18 we saw 34 groups established, Natural hazards such as bushfire, storms and more than a 12% increase compared to the flooding are unavoidable, but we can mitigate previous year. their impact. We do this by working with the This brings the total number of community- WA community to make sure we are prepared, based Bushfire Ready Groups in WA to 270. respond to and recover from them in the best way possible. This is excellent progress, but we will continue to encourage better community preparedness An important measure of preparedness is the over the coming year, introducing education on number of community-based Bushfire Ready flood and cyclone preparation to community Groups established. groups.

Indicator Target Number of community based Bushfire Ready 257 Result Groups established 270

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OUTCOME 3

Aerial operations capability takes flight In November 2017 the Dauphin joined the fleet. An operational workforce During 2017, DFES established the new This light utility helicopter (LUH) was the busiest Jandakot Air Operations Base. This unique aircraft in the fleet during 2017-18. Its tasks that is trained and equipped facility at Jandakot Airport incorporates a during bushfires included air attack supervision, leased hangar with an aircraft parking apron, transport logistics and Helitak duties. to respond significantly improving our aerial operations In May 2018, a high altitude Learjet 35 capability. It enables accommodation of a fluid with infrared Linescanner for wide area fire range of aircraft number and type depending on mapping was undergoing tests to assess its seasonal bushfire risk, with increased capacity effectiveness in the WA terrain. Coincidently, on for storage of rapidly air-deployable equipment the same day, unseasonal bushfires in Augusta, caches for heavy rescue, urban search and Albany, Stirling Ranges and Peaceful Bay rescue (USAR) and hazmat response. allowed the Learjet 35 and sensors to be tested The base is occupied year-round by DFES air operationally. The Learjet Linescanner was able operations and aviation contract management to demonstrate its rapid deployment ability by staff and accommodates seasonal aircrew responding from Perth to Albany in less than 30 and logistics personnel from DFES, Parks and minutes while seamlessly transferring incident Wildlife and private contractors. The base has data to DFES. provided briefing and training facilities for up to 100 people including staff, volunteers and contractor groups.

While at a slower operational tempo than three of the previous four southern bushfire seasons, 2017-18 was not insignificant. The new Jandakot Air Operations Base

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Volunteers help shape the future more than • first click testing to see how volunteers These strategies enabled volunteers from every 20,000 times would complete specific tasks. This allowed region in the State to actively participate in the Over the last 12 months DFES has implemented us to evaluate the usability of the Portal and design of the new Volunteer Hub. Through their new approaches, tools and mechanisms to proposed Hub input, early testing of the Hub shows a high engage volunteers in meaningful and accessible • usability testing through using observation degree of user satisfaction and acceptance ways. We believe volunteers’ knowledge, ideas software to ‘see’ and ‘hear’ how easy or with the emerging product. All those who have and perspectives are crucial in ensuring that difficult it was to complete tasks through actively participated in the project will continue we develop resources, policies and services the portal and to understand how volunteers to develop the Hub through to its release. appropriate for the job, wherever that may be. could see the Hub being designed and The Marine Next Gen project aims to address Our new focus has meant that volunteers have structured the aging volunteer base within VMRS. By had the opportunity to be actively involved in the • online card sorting to evaluate how engaging volunteers through a variety of design and development of projects, programs information should be presented in the Hub mechanisms including telephone interviews, and resources that are relevant and directly • workshops to develop the structure, page targeted surveys and a series of workshops/ impact them. layouts and visual design of the Hub focus groups to identify issues and strategies, • prototype testing to make sure the proposed There has been some excellent examples of the project was able to identify opportunities Hub design works in the way volunteers need volunteers helping us shape the future over the to attract a younger cohort to the Service. it to. last 12 months. Strategies are now being developed from all the information gathered. The Volunteer Hub project has involved an intensive co-design methodology, including From volunteer engagement campaigns across Moray testing, involving approximately 300 a multitude of issues including Child Friendly, volunteers who have provided input through a Child Safe Organisation policy, the 400MHz range of ways including: radio transition project and development replace with of operational doctrine, more than 20,000 instances of volunteer engagement underpin • team visits to both metropolitan and regional our commitment to strengthening ties with our volunteer brigades, groups and units to volunteers and to learning from their unique collect feedback and discuss proposed local knowledge and experience. changes and improvements • online surveys and phone interviews to identify problem areas in the Volunteer Portal that can be fixed through the proposed Hub design Volunteers are helping shape our future

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Bushfire training at Boddington Gold Mine In return for hosting DFES, the Emergency According to Geoscience Australia, WA is an Over the past year, firefighters have benefitted Response Teams from Newmont Boddington earthquake hotspot, with more earthquakes from hands-on training in a safe environment mine will receive specialised training in bushfire each year than all other Australian states and thanks to a new partnership between DFES and suppression and incident management from territories combined. This makes it vital for Newmont’s Boddington Gold Mine. subject matter experts from DFES and Parks emergency services personnel to test their skills and Wildlife Services. and training in simulated scenarios such as this. In September 2017, a group of firefighters from DFES’ Station Officer Development Program got The Western Australia Fire and Emergency a chance to put theory into practice at a five day Services (WAFES) Academy is planning more training camp at the mine site. courses at the mine site in 2018-19.

The mine is set on 35,000 hectares of jarrah Earthquake drill shakes up emergency forest and is separated into areas that can be services used for back-burning strategies and tactics. What would happen if a 5.6 magnitude The camp’s program gave officers the chance earthquake struck Perth? to operate in a realistic bushfire environment Being prepared to respond effectively and and gain experience in supervising crews, efficiently to a range of emergencies is critical aerial firefighting resources and earth moving to keeping WA communities safe. In August machinery. 2017, Exercise Jaguar was held at the WAFES The training exercises tested their ability to Academy, in which more than 200 emergency apply strategy while managing resources. It services personnel responded to a simulated equipped them with the knowledge and skills 5.6 magnitude earthquake in Guildford. they’ll need to effectively combat bushfires as a In the scenario, buildings collapsed, vital station officer in the future. infrastructure was damaged, more than 30,000 Earlier in the year we used the same location to people were left homeless, ten people died and deliver an Advanced Bushfire Firefighting course thousands were injured or missing. Throughout to local government Community Emergency the day, realistic events including aftershocks Services Managers, Bushfire Risk Mitigation and chemical spills added to the challenge. Officers and local volunteers. Exercise Jaguar provides an opportunity for rescue training

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DFES USAR personnel and firefighters who For example, the vehicle’s satellite technology Many people are involved in responding have undergone specialist training to rescue can act as a 4G Wi-Fi hotspot, giving other to emergencies, both on the frontline and casualties trapped by buildings and landfalls, emergency responders including WA Police, in support roles, and being able to share worked with dogs and surveyors to locate and the ability to access the internet in reception information during emergencies is crucial in remove survivors from collapsed buildings. black spots. protecting the community. We will continue to review our CSV fleet and how we can best The emergency rescue helicopter, managed by The CSV includes an internal office space with aid communication between DFES, volunteer DFES, also took part in the drill, using the winch two workstations, its own power supply and groups and other agencies. to rescue a trapped person. a video camera allowing various operations centres across the State to view real time Overall it was a successful exercise which images at the frontline. tested emergency services functions in a realistic environment. Dependable network infrastructure is vital to responding to and recovering from State-of-the art communications vehicle emergencies. Following SWORD’s successful for volunteers trial of the new CSV, there are plans to introduce A state-of-the-art communications support a similar vehicle in the Kimberley region. vehicle (CSV), giving emergency responders The rural CSV will feature the same satellite valuable intelligence during bushfires and other technology, but will be modified for use in rough major incidents, was handed over for permanent terrain and isolated areas. It will include features assignment to the SES Communications such as four-wheel drive, a shorter wheel base Support Unit in July 2017. and more comprehensive first aid facilities.

The new $500,000 CSV, was commissioned In addition to these new CSVs, DFES has 14 for a trial by the State Wide Operational standard communications vehicles, located Response Division (SWORD) in Kewdale. It in Belmont, O’Connor, Geraldton, Manjimup, is a more advanced version of the vehicles Kalgoorlie, Bunbury, Rockingham, Swan, currently in use by volunteers and staff. Its Wanneroo, Serpentine, Mundaring, Chittering satellite equipment operates independently and the Great Southern Region. of established mobile network infrastructure, enabling communications in isolated areas or where networks are congested or not available. The new communications support vehicle

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Award winners At the Sheraton Hotel in December 2017, The new computer aided dispatch (CAD) The 2018 Institute of Public Administration DFES received an OpenGov ‘Recognition of system, integrates critical information between Australia (IPAA) WA Achievement Awards Excellence’ Award. The award recoginises agency databases, command centres and were announced at a ceremony in June 2018 DFES as a leading WA Government agency for frontline officers. recognising both individual and organisational digital transformation, collaborating with other DFES joins WA Police in using the same excellence in the public service. DFES had the agencies to create better outcomes for the technology platform, creating more second highest number of shortlisted finalists. community. opportunities for collaboration between the DFES’ Mental Health First Aid Program won OpenGov reports on digital transformation state’s fire and emergency services and police the Best Practice in Health and Wellbeing projects throughout south east Asia and for coordinated incident response in the future. Award reflecting the value DFES places on highlights successful initiatives where the importance of creating and maintaining a technology based solutions deliver more mentally healthy workplace. efficient, agile, transparent and secure services to the community.

Mental Health First Aid staff DFES and WA Police collaborate for the CAD project

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How we performed against the KPIs While we are outperforming our targets, we To be able to best serve and protect the WA continually look for ways to deliver training community, it is important our staff and more effectively and ensure our assets and volunteers are fully trained and equipped. We equipment are fit for purpose and available. have several KPIs in place that help us measure how we are performing in this area and where we can improve.

During 2017-18 we performed well against KPIs relating to training and provision of equipment. Almost half of DFES operational volunteers are actively engaged in Pathways training, while 85% of assets are within specified replacement period parameters.

Indicator

Number of operational personnel endorsed as 22 L3 Incident Managers 23

Proportion of DFES operational volunteers actively 43.5% engaged in Pathways training 46.62%

Proportion of assets within specified replacement 85% period parameters 85%

Proportion of first round Local Government Grant 70% Target Scheme offers accepted 71.71% Result

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OUTCOME 4

Record number of businesses recognised for Defence ship building company ASC, a gold Minimised impact from supporting emergency services category recipient, received multiple nominations Our volunteers are invaluable in ensuring we from employees who volunteer with Baldivis emergencies through timely can respond to incidents in a timely and VFES. effective way. and effective response The support from ASC included paid time Without the support of the businesses who off to attend incidents, trade assistance in employ these volunteers in their day jobs we manufacturing equipment for the station and simply would not have the volunteer manpower fundraising support for emergency services. we need to do our job.

In November 2017, a record 91 businesses were recognised for their vital role in supporting emergency service volunteers. Air intelligence to combat bushfires The DFES Volunteer Employer Recognition Awards recognise businesses which go DFES is getting ahead of the fire from above. above and beyond to provide flexible work Throughout the bushfire season we operate a arrangements, enabling their staff to respond to fleet of aircraft out of Jandakot and Serpentine emergencies during work hours. airports, and several regional areas, to boost In 2017-18 there was a 35% increase in the firefighting operations. number of organisations acknowledged with The fleet is part of the air operations division nearly half of the recipients recognised in the and is made up of specially trained firefighters gold category and 18 self-employed volunteers who work as Air Attack Supervisors and Air honoured. Intelligence Officers.

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Their job is to map the fire zone, outline the How inter-agency team work freed Local SES volunteers provided essential lighting length of the fire front, the direction it’s travelling trapped child and assisted career Fire and Rescue to form in, and how fast it’s going. Inter-agency cooperation is vital in any a human chain to carry the boy out of the emergency situation we face. November 2017 trench once freed, while the SJA paramedics They can see if there are any structures in the was no exception, when an eight-year-old boy administered vital medical care. The emergency path of the fire or if there are any crews under was successfully rescued after more than four rescue helicopter took him to Sir Charles threat then communicate that information to hours trapped in a collapsed trench. Gairdner Hospital. the team on the ground. DFES career firefighters and St John Ambulance The young boy kept calling for ‘Snow’ his teddy The aerial intelligence helicopter operates at (SJA) paramedics arrived at a Jandabup property bear, but he was unable to hold it because of the 2,500 feet and is equipped with state-of-the- around 3pm on Sunday 19 November to find the instability of the sand. To help keep him calm, art technology. This includes a defence grade young boy covered in sand up to his neck. the firefighter in the trench with him wore Snow camera which shows what’s happening on the strapped to their harness. ground in detail. Crews began immediately working to provide protection to ensure more sand didn’t cave in. Thermal imaging equipment and geospatial computers allow the crew to see the fire, people, They were joined by the USAR team who animals and structures on the ground and assessed the unstable area before starting to record and store that vision. shore up the walls of the trench.

The work of the crew continues well after the The boy was at the apex of the trench and the bushfire is contained and clean-up has started. loose dry soil meant movement sent more sand on top of him. After an incident, they fly across the incident area to locate any hotspots. They are radioed The USAR team has specialist trained capability USAR officers providing protection against more sand to ground crews who are able to respond and to locate and remove people who have been slippage prevent fires starting up again. trapped by buildings, landfalls or slippages. The boy spent the night in hospital with minor The team acquired state-of-the-art extraction injuries and was well enough to go home the equipment in July 2016 – this is the first incident next day. they’ve used it where a human life was at risk. Over the years, DFES has built strong There was six tonnes of sand sitting on the relationships with these other agencies. edge of the trench and the team was conscious The strength of these relationships enabled that it could come down on everyone working at everyone on scene to work seamlessly. any time. Department of Fire and Emergency Services | Annual Report 2017-18 49 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

Mandurah VMRS aids Finistere search and Unfortunately, the missing crew were rescue discovered deceased, the volunteer crews In February 2018, the Mandurah VMRS played working with WA Police, air operations, and the a leading role in the search and rescue of crew Australian Maritime Safety Authority to locate from the stricken yacht Finistere. The Finistere and recover the bodies. had been participating in the Fremantle to Despite the tragic loss of life, the Finistere Bunbury return ocean race hosted by the Royal incident demonstrated the importance and Freshwater Bay Yacht Club, when its distress capacity of volunteers in search and rescue beacon was detected shortly before midnight missions. With more than 40 volunteers on 23 February. participating over 14 hours, the mission Aided by air support, the Mandurah VMRS vessels required intensive collaboration and ongoing The new light utility helicopter based at Jandakot Spirit of Mandurah and West Wide 1, reached the communication. In addition to its primary function as a bushfire Finistere, which had capsized 11 nautical miles The Mandurah VMRS is one of 39 Volunteer response craft, during 2017-18 the LUH was south west of Mandurah, at around 2am. Marine Rescue Services located in WA and deployed to the Nullarbor to provide emergency Four of the six crew were rescued and taken to supported by DFES. Their dedication and flood relief to the remote Tjuntjunjara safety. The volunteers commenced the search expertise is crucial to our capability to respond community, conducting a rescue. for the two missing crew. to emergencies, and like the thousands of fellow volunteers throughout our State, we could not The LUH also assisted in the search and serve WA community without them. rescue of the crew of the sunk yacht Finistere, transported firefighter reinforcements from Perth New helicopter enhances Air Operations’ to a major fire at Geraldton Port, and participated emergency response capabilities in Hazmat and heavy rescue exercises. November 2017 saw the addition of a new light The aerial firefighting fleet as a whole performed utility helicopter (LUH) to the aerial firefighting well during the 2017-18 bushfire season, fleet at Jandakot Air Operations. Previously performing direct attack and reducing bushfire engaged on an ad-hoc basis, the new LUH’s rate of spread to help keep fires manageable for tasks include air attack supervision, transport firefighters on the ground. and tactical duties when required. The new LUH was the most utilised aircraft in the fleet during The Air Operations team helped turn the January 2018 Sawyers Valley bushfire towards lower fuel Mandurah VMRS played a leading role in the search 2017-18. and rescue areas through firebombing, and one air attack

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helicopter performed a daring extraction of a This vital air service transports critical care Having a second helicopter based at the bush walker from the path of the fire. specialists to an incident and airlifts the injured gateway to the south west means response to the nearest or most suitable hospital. times to incidents in Margaret River and beyond During 2017-18, the team conducted aerial Together, they significantly reduce the time have reduced by more than 25%. intelligence surveillance and reconnaissance taken to transport meaning higher survival services. While conducting routine digital fire rates, reduced hospitalisation periods, shorter Whereas previously, the rescue helicopter in mapping and video broadcast of a fire in the rehabilitation times, and better patient and Jandakot would have taken around 6 hours to Gnangara pine plantations, the helicopter community outcomes. fly to Margaret River and transport the patient crew located and tracked a suspicious vehicle, to hospital, the Bunbury helicopter takes just which resulted in the arrest of two persons Introduction of the Bunbury helicopter has had 4.5 hours, dramatically improving the time it subsequently charged with arson. a huge impact on the level of support we can takes to get urgent care to the people who need provide the community. our help. South West rescue helicopter helps improve response times Emergency rescue helicopters 2017-18 performance (Jandakot and Bunbury combined): In February 2016, WA’s second emergency rescue helicopter began operating from Bunbury. Total hours Total mission airborne: hours: The two emergency rescue helicopters, based in Perth and Bunbury, cover 95% of the State’s population. Vehicle crashes Together, they flew more than 650 missions last Total number of attended: year, providing critical medical and transport incidents attended: services to people involved in road crashes, farming accidents and marine incidents. People airlifted to hospital: Since the inaugural flight in August 2003, the two emergency rescue helicopters have completed more than 6,000 missions and have flown more than 1.2 million kilometres. umber of umber of Search and metropolitan The crews include a pilot, air crew officer and regional missions: rescue missions: missions: St John Ambulance critical care paramedic. During critical hospital transfers, a doctor may also be on board. Department of Fire and Emergency Services | Annual Report 2017-18 51 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

How we performed against the KPIs Response times to ESL 1 and ESL 2 incidents When emergencies happen, we will respond remain ahead of target, while over 96% of level quickly and effectively. We are very proud of 2 and 3 bushfires have been contained with no our frontline teams and we constantly strive to structures lost or significantly damaged. improve and learn from every incident we face. Though we have met our emergency response We have outperformed all our emergency KPIs, we will remain vigilant and continue response KPIs during 2017-18. We are proud to focus on providing timely and effective our volunteers continue to exceed their turnout response. target, with more than 92% of incident turnouts being within the target timeframe.

Indicator

Proportion of responses to ESL 1 and ESL 2 incidents 90% within target timeframes 90.84%

Proportion of DFES volunteer turnouts within target 90% timeframes 92.27%

Proportion of structure fires confined to object or 72% room of origin 75.76%

Proportion of Level 2 and Level 3 bushfires where no 95% Target structures are lost or significantly damaged 96.08% Result

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FINANCIAL STATEMENTS AND PERFORMANCE INDICATORS

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CERTIFICATION OF FINANCIAL STATEMENTS for the year ended 30 June 2018 The accompanying financial statements of the Department of Fire and Emergency Services have been prepared in compliance with the provisions of the Financial Management Act 2006 from proper accounts and records to present fairly the financial transactions for the reporting period ended 30 June 2018 and the financial position as at 30 June 2018.

At the date of signing we are not aware of any circumstances which would render the particulars included in the financial statements misleading or inaccurate.

G Camarda BCom CPA D Klemm AFSM Chief Finance Officer Accountable Authority

21 August 2018 21 August 2018

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2018 2017 STATEMENT OF Note ($’000) ($’000) COMPREHENSIVE COST OF SERVICES INCOME Expenses for the year ended 30 June 2018 Employee benefits expense 3.1 206,297 198,819 Supplies and services 3.3 103,072 109,797 Depreciation and amortisation 5.1, 5.2 18,398 18,348 Finance costs 7.2 1,798 2,171 Accommodation expenses 3.3 10,889 7,141 Grants and subsidies 3.2 50,552 54,423 Loss on disposal of non-current assets 4.6 214 – Other expenditure 3.3 7,375 5,475 Total cost of services 398,595 396,174

Income Revenue User charges and fees 4.1 368,083 351,548 Commonwealth grants and contributions 4.3 4,470 4,846 Interest revenue 4.4 200 109 Other revenue 4.5 7,315 5,545 Total revenue 380,068 362,048

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2018 2017 STATEMENT OF Note ($’000) ($’000) COMPREHENSIVE Gains INCOME Gain on disposal of non-current assets 4.6 – 216 for the year ended 30 June 2018 Total gains – 216 (continued) Total income other than income from State Government 380,068 362,264 NET COST OF SERVICES 18,527 33,910 Income from State Government 4.2 Service appropriation 25,159 19,603 Services received free of charge 839 1,166 Royalties for Regions Fund 14,428 12,605 Total income from State Government 40,426 33,374

SURPLUS/(DEFICIT) FOR THE PERIOD 21,899 (536) OTHER COMPREHENSIVE INCOME Items not reclassified subsequently to profit or loss Changes in asset revaluation surplus 9.9 374 (6,805) Total other comprehensive income 374 (6,805)

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD 22,273 (7,341)

See also note 2.2 ‘Schedule of Income and Expenses by Service’. The Statement of Comprehensive Income should be read in conjunction with the accompanying notes.

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2018 2017 STATEMENT OF Note ($’000) ($’000) FINANCIAL ASSETS POSITION Current assets as at 30 June 2018 Cash and cash equivalents 7.3 56,711 49,271 Restricted cash and cash equivalents 7.3 1,039 235 Inventories 6.3 3,659 12,565 Receivables 6.1 5,167 9,257 Other current assets 6.4 2,431 3,508 Non-current assets classified as held for sale 9.8 – 8,000 Total current assets 69,007 82,836

Non-current assets Restricted cash and cash equivalents 7.3 1,283 635 Amounts receivable for services 6.2 38,593 31,682 Property, plant and equipment 5.1 372,821 358,699 Intangible assets 5.2 13,015 3,137 Total non-current assets 425,712 394,153 TOTAL ASSETS 494,719 476,989

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2018 2017 STATEMENT OF Note ($’000) ($’000) FINANCIAL LIABILITIES POSITION Current liabilities as at 30 June 2018 (continued) Payables 6.5 17,436 10,083 Borrowings 7.1 2,440 9,390 Employee related provisions 3.1 25,839 28,093 Other current liabilities 6.6 24 3,589 Total current liabilities 45,739 51,155

Non-current liabilities Borrowings 7.1 36,556 38,996 Employee related provisions 3.1 10,179 10,008 Total non-current liabilities 46,735 49,004 TOTAL LIABILITIES 92,474 100,159 NET ASSETS 402,245 376,830

EQUITY 9.9 Contributed equity 353,244 350,102 Reserves 44,180 43,806 Accumulated surplus 4,821 (17,078) TOTAL EQUITY 402,245 376,830

See also note 2.3 ‘Schedule of Assets and Liabilities by Service’. The Statement of Financial Position should be read in conjunction with the accompanying notes.

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Accumulated STATEMENT OF Contributed surplus Total CHANGES IN equity Reserves / (deficit) equity Note ('$000) ('$000) ('$000) ('$000) EQUITY Balance at 1 July 2016 9.9 345,817 50,611 (16,542) 379,886 for the year ended 30 June 2018 Surplus/(Deficit) for the year – – (536) (536) Other comprehensive income – (6,805) – (6,805) Total comprehensive income for the period – (6,805) (536) (7,341) Transactions with owners in their capacity as owners: Capital appropriations – – – – Other contributions by owners 4,285 – – 4,285 Distributions to owners – – – – Total 4,285 – – 4,285 BALANCE AT 30 JUNE 2017 9.9 350,102 43,806 (17,078) 376,830 Balance at 1 July 2017 9.9 350,102 43,806 (17,078) 376,830 Surplus/(deficit) for the year – – 21,899 21,899 Other comprehensive income – 374 – 374 Total Comprehensive income/ (loss) for the period – 374 21,899 22,273 Transactions with owners in their capacity as owners: Capital appropriations – – – – Other contributions by owners 3,142 – – 3,142 Distributions to owners – – – – Total 3,142 – – 3,142 BALANCE AT 30 JUNE 2018 9.9 353,244 44,180 4,821 402,245

The Statement of Changes in Equity should be read in conjunction with the accompanying notes.

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2018 2017 STATEMENT OF Note ($’000) ($’000) CASH FLOWS CASH FLOWS FROM STATE GOVERNMENT for the year ended 30 June 2018 Receipts Service appropriation 18,248 13,182 Royalties for Regions Fund 15,990 14,050 NET CASH PROVIDED BY STATE GOVERNMENT 34,238 27,232

Utilised as follows: CASH FLOWS FROM OPERATING ACTIVITIES Payments Employee benefits (207,434) (196,399) Supplies and services (97,884) (104,016) Finance costs (1,887) (2,213) Accommodation (10,734) (7,093) Grants and subsidies (41,573) (49,093) GST payments on purchases (18,835) (20,274) Other payments (7,362) (5,096) Receipts User fees and charges 367,825 352,710 Commonwealth grants and contributions 7,549 1,766 Interest received 200 109 GST receipts on sales 2,330 1,401 GST receipts from taxation authority 16,913 18,936 Other receipts 3,823 2,705 NET CASH USED IN OPERATING ACTIVITIES 7.3 12,931 (6,557)

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2018 2017 STATEMENT OF Note ($’000) ($’000) CASH FLOWS CASH FLOWS FROM INVESTING ACTIVITIES for the year ended 30 June 2018 Payments (continued) Purchase of non-current assets (37,398) (41,504) Receipts Proceeds from the sale of non-current assets 4.6, 9.8 8,511 383 NET CASH USED IN INVESTING ACTIVITIES (28,887) (41,121)

CASH FLOWS FROM FINANCING ACTIVITIES Payments Repayment of borrowings (9,390) (2,440) NET CASH USED IN FINANCING ACTIVITIES (9,390) (2,440)

Net (decrease)/increase in cash and cash equivalents 8,892 (22,886) Cash and cash equivalents at the beginning of the period 50,141 73,027 CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD 7.3 59,033 50,141

The Statement of Cash Flows should be read in conjunction with the accompanying notes.

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2018 2018 2018 2018 2017 SUMMARY OF Estimate Actual Variance Actual Actual Variance CONSOLIDATED ('$000) ('$000) ('$000) ('$000) ('$000) ('$000) ACCOUNT Delivery of Services Item 27 Net amount APPROPRIATIONS appropriated to deliver services 19,699 24,118 (4,419) 24,118 18,562 5,556 AND INCOME Amount authorised by ESTIMATES other Statutes for the year ended 30 June 2018 – Salaries and Allowances Act 1975 1,041 1,041 – 1,041 1,041 – Total appropriations provided to deliver services 20,740 25,159 (4,419) 25,159 19,603 5,556 Capital Item 99 Capital appropriations 1,500 – 1,500 – – – GRAND TOTAL 22,240 25,159 (2,919) 25,159 19,603 5,556 Details of Expenses by Service Community Awareness, Education and Information Services 9,492 8,951 541 8,951 8,349 602 Compliance and Technical Advisory Services 21,437 20,140 1,297 20,140 18,582 1,558 Training and Organisational Resourcing Services 98,284 102,997 (4,713) 102,997 99,740 3,257

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2018 2018 2018 2018 2017 SUMMARY OF Estimate Actual Variance Actual Actual Variance CONSOLIDATED ('$000) ('$000) ('$000) ('$000) ('$000) ('$000) ACCOUNT Frontline Services 266,296 266,507 (211) 266,507 269,503 (2,996) Total cost of services 395,509 398,595 (3,086) 398,595 396,174 2,421 APPROPRIATIONS Less Total income (372,003) (380,068) 8,065 (380,068) (362,264) (17,804) AND INCOME Net cost of services 23,506 18,527 4,979 18,527 33,910 (15,383) ESTIMATES Adjustments (2,766) 6,632 (9,398) 6,632 (14,307) 20,939 for the year ended 30 June 2018 TOTAL (continued) APPROPRIATIONS PROVIDED TO DELIVER SERVICES 20,740 25,159 (4,419) 25,159 19,603 5,556 Capital expenditure Purchase of non-current assets 57,759 37,398 20,361 37,398 41,504 (4,106) Repayment of borrowings 18,440 9,390 9,050 9,390 2,440 6,950 Adjustments for other funding sources (74,699) (46,788) (27,911) (46,788) (43,944) (2,844) CAPITAL APPROPRIATIONS 1,500 – 1,500 – – –

Adjustments comprise movements in cash balances and other accrual items such as receivables, payables and superannuation. Note 9.11 ‘Explanatory statement for Administered Items’ provide details of any significant variations between estimates and actual results for 2018 and between the actual results for 2018 and 2017.

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NOTES TO THE 1 Basis of preparation The Department is a WA Government entity and is controlled by the State of Western Australia, which is the ultimate FINANCIAL parent. The Department is a not-for-profit entity (as profit is not its principal objective). These annual financial STATEMENTS statements were authorised for issue by the Accountable Authority of the Department on 21 August 2018. for the year ended 30 June 2018 Statement of compliance (continued) These general purpose financial statements have been prepared in accordance with: 1) The Financial Management Act 2006 (FMA) 2) The Treasurer’s Instructions (the Instructions or TI) 3) Australian Accounting Standards (AAS) including applicable interpretations 4) Those AAS paragraphs applicable for not-for-profit entities have been applied, where appropriate. The FMA and the Instructions take precedence over AAS. Several AAS are modified by the Instructions to vary application, disclosure format and wording. Where modification is required and has had a material or significant financial effect upon the reported results, details of that modification and the resulting financial effect are disclosed in the notes to the financial statements. Basis of preparation These financial statements are presented in Australian dollars applying the accrual basis of accounting and using the historical cost convention. Certain balances will apply a different measurement basis (such as the fair value basis). Where this is the case the different measurement basis is disclosed in the associated note. All values are rounded to the nearest thousand dollars ($’000). Judgement and estimates Judgements, estimates and assumptions are required to be made about financial information being presented. The significant judgements and estimates made in the preparation of these financial statements are disclosed in the notes where amounts affected by those judgements and/or estimates are disclosed. Estimates and associated assumptions are based on professional judgements derived from historical experience and various other factors that are believed to be reasonable under the circumstances.

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NOTES TO THE 1 Basis of preparation (continued) Key sources of estimation uncertainty FINANCIAL Key estimates and assumptions concerning the future are based on historical experience and various other STATEMENTS factors that have a significant risk of causing a material adjustment to the carrying amounts of assets and for the year ended 30 June 2018 liabilities within the next financial year. (continued) Long Service Leave Several estimations and assumptions used in calculating the Department’s long service leave provision include expected future salary rates, discount rates, employee retention rates and expected future payments. Changes in these estimations and assumptions may impact on the carrying amount of the long service leave provision. See note 3.1(b) Employee related provisions. Depreciation The Department estimates the useful lives of non-current assets in a manner that reflects the consumption of their future economic benefits. See note 5.1 Property, plant and equipment and note 5.2 Intangible assets. Contributed equity AASB Interpretation 1038 Contributions by Owners Made to Wholly-Owned Public Sector Entities requires transfers in the nature of equity contributions, other than as a result of a restructure of administrative arrangements, to be designated by the Government (the owner) as contributions by owners (at the time of, or prior to transfer) before such transfers can be recognised as equity contributions. Capital appropriations have been designated as contributions by owners by TI 955 Contributions by Owners made to Wholly Owned Public Sector Entities and have been credited directly to Contributed Equity. The transfers of net assets to/from other agencies, other than as a result of a restructure of administrative arrangements, are designated as contributions by owners where the transfers are non-discretionary and non- reciprocal.

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NOTES TO THE 2 Department outputs How the Department operates FINANCIAL Under the Fire and Emergency Services Act 1998, the Department is funded through the the Emergency Services STATEMENTS Levy. These funds are used to support effective emergency service delivery to the people of Western Australia. for the year ended 30 June 2018 Note (continued) Department objectives 2.1 Schedule of Income and Expenses by Service 2.2 Schedule of Assets and Liabilities by Service 2.3

2.1 Department objectives Mission Our mission is to improve community safety practices and provide timely, quality and effective emergency services in partnership with the people of Western Australia. Our vision is resilient Western Australian communities that work together to build capability and capacity to prevent, prepare for, respond to and recover from emergencies supported by our core values of putting the community first; working together as a committed team, respect and value for each other, acting with integrity and honesty, having open and honest two way communication and striving to keep ourselves and others safe. The Department provides the following services: Service 1: Community Awareness, Education and Information Services Minimised occurrence and impact of preventable emergencies.

Service 2: Compliance and Technical Advisory Services Minimised impact of natural hazard emergencies.

Service 3: Training and Organisational Resourcing Services An operational workforce that is trained and equipped to respond.

Service 4: Frontline Services Minimised impact from emergencies through timely and effective response.

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NOTES TO THE 2 Department outputs FINANCIAL 2.2 Schedule of Income and Expenses by Service for the year ended 30 June 2018 Community STATEMENTS Awareness, Training and for the year ended 30 June 2018 Education and Compliance Organisational (continued) Information and Technical Resourcing Frontline Services Advisory Services Services Services Total 2018 2017 2018 2017 2018 2017 2018 2017 2018 2017 ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) COST OF SERVICES

Expenses Employee benefits expense 6,588 6,330 12,555 12,189 30,594 29,506 156,560 150,794 206,297 198,819 Supplies and Services 1,675 1,383 4,441 4,421 26,437 27,371 70,519 76,622 103,072 109,797 Depreciation and amortisation 413 387 930 861 4,754 4,619 12,301 12,481 18,398 18,348 Finance costs 39 45 91 102 465 547 1,203 1,477 1,798 2,171 Accommodation expenses 5 6 12 8 10,009 6,673 863 454 10,889 7,141 Grants and subsidies 62 83 1,728 747 28,792 29,660 19,970 23,933 50,552 54,423 Loss on disposal of non-current assets 4 – 11 – 55 – 144 – 214 – Other expenditure 165 115 372 254 1,891 1,364 4,947 3,742 7,375 5,475 Total cost of services 8,951 8,349 20,140 18,582 102,997 99,740 266,507 269,503 398,595 396,174

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NOTES TO THE 2 Department outputs (continued) 2.2 Schedule of Income and Expenses by Service for the year ended 30 June 2018 (continued) FINANCIAL Community Awareness, Training and STATEMENTS Education and Compliance Organisational for the year ended 30 June 2018 Information and Technical Resourcing Frontline (continued) Services Advisory Services Services Services Total 2018 2017 2018 2017 2018 2017 2018 2017 2018 2017 ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) Income User charges and fees 8,267 7,409 18,598 16,489 95,113 88,505 246,105 239,145 368,083 351,548 Commonwealth grants and contributions 100 102 226 227 1,155 1,220 2,989 3,297 4,470 4,846 Interest revenue 4 3 10 5 52 27 134 74 200 109 Other revenue 164 117 370 260 1,890 1,396 4,891 3,772 7,315 5,545 Gain on disposal of non-current assets (1) 4 – 10 – 54 1 148 – 216 Total income other than income from State Government 8,534 7,635 19,204 16,991 98,210 91,202 254,120 246,436 380,068 362,264 NET COST OF SERVICES 417 714 936 1,591 4,787 8,538 12,387 23,067 18,527 33,910

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NOTES TO THE 2 Department outputs (continued) 2.2 Schedule of Income and Expenses by Service for the year ended 30 June 2018 (continued) FINANCIAL Community Awareness, Training and STATEMENTS Education and Compliance Organisational for the year ended 30 June 2018 Information and Technical Resourcing Frontline (continued) Services Advisory Services Services Services Total 2018 2017 2018 2017 2018 2017 2018 2017 2018 2017 ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) Income from State Government Service appropriation 565 413 1,271 919 6,501 4,935 16,822 13,336 25,159 19,603 Services received free of charge 19 25 42 55 217 294 561 792 839 1,166 Royalties for Regions Fund – 266 – 591 5,628 3,173 8,800 8,575 14,428 12,605 Total income from State Government 584 704 1,313 1,565 12,346 8,402 26,183 22,703 40,426 33,374 SURPLUS/ (DEFICIT) FOR THE PERIOD 167 (10) 377 (26) 7,559 (136) 13,796 (364) 21,899 (536)

The Schedule of Income and Expenses by Service should be read in conjunction with the accompanying notes. The prior year comparative for grants and subsidies has been restated between training and organisational resourcing services and frontline services.

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NOTES TO THE 2 Department outputs (continued) FINANCIAL 2.3 Schedule of Assets and Liabilities by Service as at 30 June 2018 Community STATEMENTS Awareness, Training and for the year ended 30 June 2018 Education and Compliance Organisational (continued) Information and Technical Resourcing Frontline Services Advisory Services Services Services Total 2018 2017 2018 2017 2018 2017 2018 2017 2018 2017 ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) Assets Current assets 1,550 1,746 3,487 3,885 17,831 20,855 46,139 56,350 69,007 82,836 Non-current assets 9,562 8,307 21,509 18,488 110,005 99,231 284,636 268,127 425,712 394,153 Total assets 11,112 10,053 24,996 22,373 127,836 120,086 330,775 324,477 494,719 476,989

Liabilities Current liabilities 1,027 1,078 2,311 2,399 11,819 12,879 30,582 34,799 45,739 51,155 Non-current liabilities 1,050 1,033 2,361 2,299 12,076 12,337 31,248 33,335 46,735 49,004 Total liabilities 2,077 2,111 4,672 4,698 23,895 25,216 61,830 68,134 92,474 100,159

NET ASSETS 9,035 7,942 20,324 17,675 103,941 94,870 268,945 256,343 402,245 376,830

The Schedule of Assets and Liabilities by Service should be read in conjunction with the accompanying notes.

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NOTES TO THE 3 Use of our funding This section provides additional information about how the Department’s funding is applied and the accounting FINANCIAL policies that are relevant for an understanding of the items recognised in the financial statements. The primary expenses incurred by the Department in achieving its objectives and the relevant notes are: STATEMENTS 2018 2017 for the year ended 30 June 2018 Use of our funding in the delivery of services Notes ($’000) ($’000) (continued) Employee benefits expense 3.1(a) 206,297 198,819 Employee benefits provisions 3.1(b) 36,018 38,101 Grants and subsidies 3.2 50,552 54,423 Other expenses 3.3 121,336 122,413 414,203 413,756

3.1 (a) Employee benefits expense Wages and salaries 175,936 173,401 Termination benefits 5,401 211 Superannuation – defined contribution plans(a) 20,306 19,756 Protective clothing and uniforms 3,381 3,843 Other related expenses 1,273 1,608 206,297 198,819

(a) Defined contribution plans include Fire and Emergency Services Superannuation Fund (FESSF), West State Superannuation Scheme (WSS), Gold State Superannuation Scheme (GSS), Government Employee Superannuation Board (GESB) and other eligible funds. Wages and salaries: Employee expenses include all costs related to employment including wages and fringe benefits tax, leave entitlements and WorkCover premiums.

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NOTES TO THE 3 Use of our funding (continued) 3.1 (a) Employee benefits expense (continued) FINANCIAL Termination benefits:Payable when employment is terminated before normal retirement date, or when an STATEMENTS employee accepts an offer of benefits in exchange for the termination of employment. Termination benefits for the year ended 30 June 2018 are recognised when the Department is demonstrably committed to terminating the employment of current (continued) employees according to a detailed formal plan without possibility of withdrawal or providing termination benefits as a result of an offer made to encourage voluntary redundancy. Benefits falling due more than 12 months after the end of the reporting period are discounted to present value. Superannuation: The amount recognised in profit or loss of the Statement of Comprehensive Income comprises employer contributions paid to the FES Super (concurrent contributions), GSS (concurrent contributions), the WSS, the GESBs, or other superannuation funds. The employer contribution paid to the Government Employees Superannuation Board (GESB) in respect of the GSS is paid back into the Consolidated Account by the GESB. FESSF is a superannuation fund available to employees of the Department of Fire and Emergency Services. Membership is also available to employees of the United Firefighters Union of Western Australia, the Western Australian Volunteer Fire Brigades and Rescue Services Association (Inc.), and the Fire and Emergency Services Superannuation Board (FESSB). The FESSB is a trustee of the Fund and is responsible for managing the fund in the best interest of members and for ensuring the fund is managed in accordance with its governing legislation; the Fire and Emergency Services Superannuation Act 1985 and the Fire and Emergency Services (Superannuation Fund) Regulations 1986. The liability for superannuation charges is extinguished by payments of employer contributions to the FESSF. Members can make additional voluntary contributions to an accumulation account which are payable in addition to any defined benefit entitlement. Contributing members who have reached the age of 55 or completed 30 years of contributing membership can transfer their defined benefit into their accumulation account. The Department also makes employer contributions to the FESSF during the year. The FESSF is a defined benefit scheme for the purpose of employees and is a defined contribution plan for the Department. The concurrent contributions (defined contributions) made by the Department to the FESSF extinguishes the Department’s obligations to the related superannuation liability. The Department also makes employer contributions to the FESSF during the year. The FESSF is a defined benefit scheme for the purpose of employees and is a defined contribution plan for the Department. The concurrent contributions (defined contributions) made by the Department to the FESSF extinguishes the Department’s obligations to the related superannuation liability.

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NOTES TO THE 3 Use of our funding (continued) 3.1 (a) Employee benefits expense (continued) FINANCIAL GSS (concurrent contributions) is a defined benefit scheme for the purposes of employees and whole-of- STATEMENTS government reporting. It is however a defined contribution plan for Department purposes because the concurrent for the year ended 30 June 2018 contributions (defined contributions) made by the Department to GESB extinguishes the Department’s (continued) obligations to the related superannuation liability. The Department does not recognise any defined benefit liabilities because it has no legal or constructive obligation to pay future benefits relating to its employees. The liabilities for the unfunded Pension Scheme and the unfunded GSS transfer benefits attributable to members who transferred from the Pension Scheme, are assumed by the Treasurer. All other FES Super and GSS obligations are funded by concurrent contributions made by the Department to the GESB and FESSB. The GESB and other fund providers administer public sector superannuation arrangements in Western Australia in accordance with legislative requirements. Eligibility criteria for membership in particular schemes for public sector employees vary according to commencement and implementation dates. 3.1 (b) Employee related provisions Provision is made for benefits accruing to employees in respect of annual leave and long service leave for services rendered up to the reporting date and recorded as an expense during the period the services are delivered. 2018 2017 ($’000) ($’000) Current Employee benefits provision Annual leave (a) 10,550 11,280 Long service leave (b) 10,665 12,196 Deferred salary scheme (c) 1,816 1,504 23,031 24,980 Other provisions Employment on-costs (d) 2,808 3,113 Total current provisions 25,839 28,093

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NOTES TO THE 3 Use of our funding (continued) 3.1 (b) Employee related provisions (continued) FINANCIAL 2018 2017 ($’000) ($’000) STATEMENTS Non current for the year ended 30 June 2018 (continued) Employee benefits provision Long service leave (b) 8,920 8,774 Other provisions Employment on-costs (d) 1,259 1,234 Total non-current provisions 10,179 10,008 Total employee benefits provision 36,018 38,101

(a) Annual leave liabilities: Classified as current as there is no unconditional right to defer settlement for at least 12 months after the end of the reporting period. Assessments indicate that actual settlement of the liabilities is expected to occur as follows: 2018 2017 ($’000) ($’000) Within 12 months of the end of the reporting period 9,935 10,513 More than 12 months after the end of the reporting period 615 767 10,550 11,280

The provision for annual leave is calculated at the present value of expected payments to be made in relation to services provided by employees up to the reporting date. (b) Long service leave liabilities: Unconditional long service leave provisions are classified as current liabilities as the Department does not have an unconditional right to defer settlement of the liability for at least 12 months after the end of the reporting period. Pre-conditional and conditional long service leave provisions are classified as non-current liabilities because the Department has an unconditional right to defer the settlement of the liability until the employee has completed the requisite years of service.

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NOTES TO THE 3 Use of our funding (continued) 3.1 (b) Employee related provisions (continued) FINANCIAL Assessments indicate that actual settlement of the liabilities is expected to occur as follows: STATEMENTS 2018 2017 for the year ended 30 June 2018 ($’000) ($’000) (continued) Within 12 months of the end of the reporting period 2,251 2,840 More than 12 months after the end of the reporting period 17,334 18,130 19,585 20,970

The long service leave liabilities are calculated at present value as the Department does not expect to wholly settle the amounts within 12 months. The present value is measured taking into account the present value of expected future payments to be made in relation to services provided by employees up to the reporting date. These payments are estimated using the remuneration rate expected to apply at the time of settlement, and discounted using market yields at the end of the reporting period on national government bonds with terms to maturity that match, as closely as possible, the estimated future cash outflows. (c) Deferred salary scheme liabilities: Classified as current where there is no unconditional right to defer settlement for at least 12 months after the end of the reporting period. Actual settlement of the liabilities is expected to occur as follows: 2018 2017 ($’000) ($’000) Within 12 months of the end of the reporting period 251 619 More than 12 months after the end of the reporting period 1,565 885 1,816 1,504

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NOTES TO THE 3 Use of our funding (continued) FINANCIAL 3.1 (b) Employee related provisions (continued) (d) Employment on-costs: The settlement of annual and long service leave liabilities gives rise to the payment STATEMENTS of employment on-costs including workers’ compensation insurance. The provision is the present value of for the year ended 30 June 2018 expected future payments. (continued) Employment on-costs, including workers’ compensation insurance, are not employee benefits and are recognised separately as liabilities and expenses when the employment to which they relate has occurred. Employment on-costs are included as part of ‘Other expenses, Note 3.3 and are not included as part of the Department’s ‘employee benefits expense’. The related liability is included in ‘Employment on-costs provision’. 2018 2017 ($’000) ($’000) Carrying amount at start of period 4,347 3,981 Additional/(reversals of) provisions recognised (280) 366 Carrying amount at end of period 4,067 4,347

Key sources of estimation uncertainty – long service leave Key estimates and assumptions concerning the future are based on historical experience and various other factors that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next financial year. Several estimates and assumptions are used in calculating the Department’s long service leave provision. These include: • expected future salary rates • employee retention rates • discount rates • expected future payments. Changes in these estimations and assumptions may impact on the carrying amount of the long service leave provision. Any gain or loss following revaluation of the present value of long service leave liabilities is recognised as employee benefits expense.

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NOTES TO THE 3 Use of our funding (continued) 3.2 Grants and subsidies FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Recurrent (continued) Local governments(a) 15,888 17,263 Volunteer entities(b) 2,478 3,808 Volunteer representative bodies(c) 2,002 2,009 Private brigades 234 222 Other 349 188 Capital Local governments(d) 29,350 27,846 Volunteer marine rescue service groups(e) 251 3,087 50,552 54,423 Transactions in which the Department provides goods, services, assets (or extinguishes a liability) or labour to another party without receiving approximately equal value in return are categorised as ‘Grant expenses’. Grants can either be operating or capital in nature. Grants can be paid as general purpose grants which refer to grants that are not subject to conditions regarding their use. Alternatively, they may be paid as specific purpose grants which are paid for a particular purpose and/ or have conditions attached regarding their use.

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NOTES TO THE 3 Use of our funding (continued) 3.2 Grants and subsidies (continued) FINANCIAL Capital items provided to VFRS and VFES are not included as capital grants as the Department retains ownership STATEMENTS of the property, plant and equipment. See note 5.1 ‘Property, plant and equipment’. for the year ended 30 June 2018 Grants and other transfers to third parties (other than contribution to owners) are recognised as an expense in (continued) the reporting period in which they are paid or payable. They include transactions such as: (a) Recurrent grants paid to local government which are used to fund the operating expenditure of bush fire brigades and State Emergency Service units; $12.0m (2017: $12.5m), Community Emergency Services Managers; $2.4m (2017: $2.4m), and other grant and subsidy payments; $1.6m (2016: $2.3m). (b) Recurrent grants paid directly to volunteer entities include volunteer marine rescue services; $1.6m (2017: $3.1m) and other volunteer entities; $0.9m (2017: $0.7m). (c) Recurrent grants paid directly to volunteer representative bodies are payments to entities which act as the peak advocate for volunteering entities. This category includes entities classified as affiliated bodies. See note 9.5 ‘Affiliated bodies’. (d) grants provided to local government for the provision of property, plant and equipment for bush fire brigades and State Emergency Service units. (e) Capital grants paid to volunteer marine rescue service groups for the procurement of property, plant and equipment.

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NOTES TO THE 3 Use of our funding (continued) 3.3 Other expenditure FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Supplies and services(a) (continued) Plant and equipment leases 29,328 31,298 Equipment repairs and maintenance 21,740 24,193 Administration 19,597 22,382 Consultants and contractors 15,985 16,730 Communications 4,983 4,944 Travel 4,174 4,001 Electricity and water expense 2,471 2,146 Insurance premiums and claims 2,436 2,361 Other 2,358 1,742 103,072 109,797 Accommodation expenses Repairs and maintenance 8,740 5,793 Lease rentals 2,149 1,348 10,889 7,141 Other expenses Employment on-costs 7,140 5,145 Audit fees 160 142 Other expenses from ordinary activities 62 175 Doubtful debts expense 13 13 7,375 5,475 (a) The 2016-17 comparative figures have been reclassified to provide users with more meaningful expenditure categories. Department of Fire and Emergency Services | Annual Report 2017-18 79 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

NOTES TO THE 3 Use of our funding (continued) 3.3 Other expenditure (continued) FINANCIAL Supplies and services: Supplies and services are recognised as an expense in the reporting period in which they STATEMENTS are incurred. The carrying amounts of any materials held for distribution are expensed when the materials are for the year ended 30 June 2018 distributed. (continued) Equipment and accommodation repairs and maintenance: Repairs and maintenance costs are recognised as expenses as incurred, except where they relate to the replacement of a significant component of an asset. In that case, the costs are capitalised and depreciated. Accommodation expenses: Operating lease payments are recognised on a straight line basis over the lease term, except where another systematic basis is more representative of the time pattern of the benefits derived from the use of the leased asset. Repairs, maintenance and cleaning costs are recognised as expenses as incurred. Other expenditure: Other operating expenses generally represent the day-to-day running costs incurred in normal operations. Employment on-cost includes workers’ compensation insurance and other employment on-costs. The on costs liability associated with the recognition of annual and long service leave liabilities is included at Note 3.1(b) Employee benefit provision. Superannuation contributions accrued as part of the provision for leave are employee benefits and are not included in employment on-costs. Doubtful debt expense: is recognised as the movement in the provision for doubtful debt. Please refer to note 6.1.1 Movement of the allowance for impairment of receivables.

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NOTES TO THE 4 Our funding sources How we obtain our funding FINANCIAL The Department receives the majority of our funding through user charges and fees, in particular the Emergency STATEMENTS Services Levy (ESL) charged to land owners in Western Australia. The Department also receives an annual for the year ended 30 June 2018 appropriation from the Consolidated Account to Fund services outside the scope of the Emergency Services Levy. (continued) The Department receives funding from the Commonwealth Government to provide additional operational capability. 2018 2017 Notes ($’000) ($’000) User charges and fees 4.1 368,083 351,548 Income from State Government 4.2 40,426 33,374 Commonwealth grants and contributions 4.3 4,470 4,846 Interest revenue 4.4 200 109 Other revenue 4.5 7,315 5,545 Net Gains / (losses) 4.6 (214) 216 420,280 395,638

4.1 User charges and fees 2018 2017 ($’000) ($’000) Emergency services levy 356,004 340,882 User charges 12,079 10,666 368,083 351,548

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NOTES TO THE 4 Our funding sources (continued) 4.1 User charges and fees (continued) FINANCIAL Revenue is recognised and measured at the fair value of consideration received or receivable. Revenue is STATEMENTS recognised by reference to the stage of completion of the transaction for the major business activities as follows: for the year ended 30 June 2018 The Emergency Services Levy (ESL) funds Western Australia’s fire and emergency services. The majority of the (continued) ESL is raised and collected by local government authorities (LGA) on behalf of the Department by including it on their council rates notices. The ESL is calculated using the Gross Rental Value (GRV) for most urban properties, with a fixed rate charge per property in rural and remote areas. ESL charges on publicly owned property is invoiced and collected by the Department. LGAs either elect to remit the ESL to the Department on a monthly basis as they collect it (Option A), or enter into a memorandum of understanding (Option B) authorised by the Minister and pay the ESL they assess in four quarterly instalments (30%, 30%, 30% and 10%) or one annual instalment. The annual payment option is generally selected by local governments that raise a small amount of ESL and wish to further simplify the ESL administrative arrangements. An Annual Emergency Services Levy Assessment Profile Return is submitted by the relevant LGA within 14 days of issue of rates notices. Revenue is recognised when an invoice is issued to the LGAs. User Charges The Direct Brigade Alarm (DBA) network monitors over 3,500 premises across Western Australia. Categories of monitored premises include (but are not limited to): • commercial properties • aged care facilities • schools/universities • high rise buildings • hospitals Fire Safety Pty Ltd trading as Chubb Fire Alarm Monitoring Services (FAMS) – Chubb delivers customer service, administration (including annual billing and debt management) and 24/7 monitoring services to DFES and all DFES’ monitored customers. The Department enforces a false fire alarm fee in accordance with section 36ZL(1)(d)(i) of the Fire and Emergency Services Act 1998. The fee applies after the third false fire alarm attendance to a premises in any one financial year. The fee is used as a measure to encourage the proper maintenance of alarm systems and reflects the cost of Departmental resources in responding to false alarms. The revenue is recognised at the time of raising the invoice for the service.

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NOTES TO THE 4 Our funding sources (continued) 4.2 Income from State Government FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Appropriation received during the period: (continued) Service appropriation(a) 25,159 19,603 25,159 19,603 Services received free of charge from other State Government agencies during the period: Western Australian Land Information Authority (Landgate) 622 974 State Solicitor’s Office 134 147 Department of Finance 74 29 Main Roads 5 – Department of Primary Industry and Regional Development 4 2 Office of Emergency Management – 14 Total services received 839 1,166 Royalties for Regions Fund: Regional Community Services Account(b) 13,290 12,605 Regional Infrastructure and Headworks Account(b) 1,138 – Total Royalties for Regions Funds 14,428 12,605 Total income from State Government 40,426 33,374

(a) Service Appropriations are recognised as revenues at fair value in the period in which the Department gains control of the appropriated funds. The Department gains control of appropriated funds at the time those funds are deposited in the bank account or credited to the ‘Amounts receivable for services’ (holding account) held at Treasury.

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NOTES TO THE 4 Our funding sources (continued) 4.2 Income from State Government (continued) FINANCIAL Service appropriations fund the net cost of services delivered (as set out in note 2.2). Appropriation revenue STATEMENTS comprises the following: for the year ended 30 June 2018 • Cash component; and (continued) • A receivable (asset). The receivable (Amounts receivable for services – note 6.2) comprises the budgeted depreciation expense for the year. (b) The Regional Infrastructure and Headworks Account, and, Regional Community Services Accounts are sub- funds within the over-arching ‘Royalties for Regions Fund’. The recurrent funds are committed to projects and programs in WA regional areas and are recognised as revenue when the Department gains control on receipt of the funds. 4.3 Commonwealth grants and contributions 2018 2017 ($’000) ($’000) Recurrent 4,239 4,207 Other 231 639 4,470 4,846

Commonwealth grants are received for various purposes including non-reciprocal grants that contribute to the Department’s operational capabilities such as aerial fire fighting, the provision of fire services to Commonwealth properties and Indian Ocean Territories. For non-reciprocal grants, the agency recognises revenue when the grant is receivable at its fair value as and when its fair value can be reliably measured. Contributions of services are only recognised when a fair value can be reliably determined and the services could have been purchased if not donated.

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NOTES TO THE 4 Our funding sources (continued) 4.4 Interest revenue FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Emergency Services Levy interest 130 109 (continued) Interest from money held in escrow 70 – 200 109

Late payment interest of 11% per annum is charged if a property owner does not pay either the full or part payment of ESL on time. However, late ESL payment penalty interest will not be charged when eligible pensioners choose to defer the payment of their ESL charge. Pending settlement of the sale of 480 Hay Street (the old FESA House site) $800,000 was held in escrow, for environmental remediation work. On settlement in March 2018 the funds held in escrow and the related interest accrued was transferred to the Department.

4.5 Other revenue 2018 2017 ($’000) ($’000) Sponsorship and donations 2,786 2,448 Non reciprocal contributed assets 1,485 1,459 General revenue 1,339 1,322 Grants 1,318 99 Insurance and other recoveries 387 217 7,315 5,545

$2.4 million (2017: $2.3 million) of sponsorship revenue is related to supporting the operation of the emergency rescue helicopter service.

Department of Fire and Emergency Services | Annual Report 2017-18 85 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

NOTES TO THE 4 Our funding sources (continued) 4.6 Gains FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Net (loss)/gain on disposal of non-current assets (continued) Proceeds from disposal of non-current assets Plant, equipment and vehicles 511 383

Carrying amount of non-current assets disposed Land (450) – Plant, equipment and vehicles (275) (167) Net (loss)/gain (214) 216

Gain on disposal of non-current assets 344 263 Loss on disposal of non-current assets (558) (47) Net (loss)/gain on disposal of non-current assets (214) 216

Realised and unrealised gains are usually recognised on a net basis. These include gains arising on the disposal of non-current assets and some revaluations of non-current assets. Gains and losses on the disposal of non-current assets are presented by deducting from the proceeds on disposal the carrying amount of the asset and related selling expenses. Gains and losses are recognised in profit or loss in the statement of comprehensive income (from the proceeds of sale). Selling expenses (e.g. sales commissions netted from Department receipts) are ordinarily immaterial. Where the amounts are material, additional disclosure is warranted. Insured non-current assets written-off as a result of an insurable event should be treated as other expenses (write-off of assets destroyed by fire/storm/earthquake etc.). The subsequent insurance recovery is to be treated as other income when it is received or receivable.

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NOTES TO THE 5 Key Assets Assets the Department utilises for service potential FINANCIAL The Department controls non-financial assets that are utilised in fulfilling the Department’s desired outcomes and STATEMENTS provision of services to the Western Australian community. This note discloses the non-financial resources that for the year ended 30 June 2018 have been entrusted to the Department to be utilised for the delivery of those outcomes and the policies for the (continued) recognition and subsequent measurement of these asset: 2018 2017 Notes ($’000) ($’000) Property, plant and equipment 5.1 372,821 358,699 Intangibles 5.2 13,015 3,137 385,836 361,836

Department of Fire and Emergency Services | Annual Report 2017-18 87 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

NOTES TO THE 5 Key Assets (continued) 5.1 Property, plant and equipment FINANCIAL Reconciliations of the carrying amounts of property, plant, and equipment at the beginning and end of the STATEMENTS reporting period are set out in the table below. for the year ended 30 June 2018 Plant and (continued) equip- Buildings Vehicles ment Lease- under under Plant and under hold construc- construc- equip- construc- improve- Land Buildings tion Vehicles tion ment tion ments Total ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) 1 July 2016 Cost or fair value 110,204 157,578 11,842 87,207 8,005 12,189 403 856 388,284 Accumulated depreciation – – – (29,167) – (5,163) – (657) (34,987) Carrying amount at start of period 110,204 157,578 11,842 58,040 8,005 7,026 403 199 353,297 Additions – – 16,286 754 15,526 1,364 1,603 – 35,533 Transfers (a) 3,895 – – – – – – – 3,895 Transfer between asset classes 20 18,662 (18,737) 12,577 (11,731) 82 (873) – – Other disposals (1,055) – – (199) – (3) – – (1,257) Revaluation increments/ (decrements) (6,954) 149 – – – – – – (6,805) Depreciation – (7,812) – (9,027) – (1,075) – (50) (17,964) Asset classified as held for sale (8,000) – – – – – – – (8,000) Carrying amount at 30 June 2017 98,110 168,577 9,391 62,145 11,800 7,394 1,133 149 358,699

Department of Fire and Emergency Services | Annual Report 2017-18 88 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance IndicatorsIndicators and Legal Compliance

NOTES TO THE 5 Key Assets (continued) 5.1 Property, plant and equipment (continued) Plant and FINANCIAL equip- Buildings Vehicles ment Lease- STATEMENTS under under Plant and under hold for the year ended 30 June 2018 construc- construc- equip- construc- improve- (continued) Land Buildings tion Vehicles tion ment tion ments Total ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) 1 July 2017 Cost or fair value 98,110 168,577 9,391 100,206 11,800 13,628 1,133 856 403,701 Accumulated depreciation – – – (38,061) – (6,234) – (707) (45,002) Net book amount 98,110 168,577 9,391 62,145 11,800 7,394 1,133 149 358,699 Additions 1,038 737 15,711 874 10,413 155 3,560 – 32,488 Transfers (a) 750 830 – – – – – – 1,580 Transfer between asset classes 5,027 12,340 (17,664) 21,180 (21,180) 1,000 (1,101) 326 (72) Other disposals (1,158) (504) – (198) – (236) – – (2,096) Revaluation increments/ (decrements) (5,474) 5,848 – – – – – – 374 Depreciation – (7,536) – (9,304) – (1,173) – (139) (18,152) Asset classified as held for sale – – – – – – – – Carrying amount at 30 June 2018 98,293 180,292 7,438 74,697 1,033 7,140 3,592 336 372,821

The Department of Planning, Lands and Heritage (DPLH) is the only Department with the power to deal in Crown land. Where crown land is transferred to or from DPLH the Department accounts for the transfer as a contribution/(distribution) to owner. Information on fair value measurements is provided in Note 8.3. Department of Fire and Emergency Services | Annual Report 2017-18 89 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

NOTES TO THE 5 Key Assets (continued) FINANCIAL 5.1 Property, plant and equipment (continued) Initial recognition STATEMENTS Items of property, plant and equipment, costing $5,000 or more are measured initially at cost. Where an asset is for the year ended 30 June 2018 acquired for no or nominal cost, the cost is valued at its fair value at the date of acquisition. Items of property, (continued) plant and equipment and infrastructure costing less than $5,000 are immediately expensed direct to the Statement of Comprehensive Income (other than where they form part of a group of similar items which are significant in total). The cost of a leasehold improvement is capitalised and depreciated over the shorter of the remaining term of the lease or the estimated useful life of the leasehold improvement. The initial cost for a non-financial asset under a finance lease is measured at amounts equal to the fair value of the leased asset or, if lower, the present value of the minimum lease payments, each determined at the inception of the lease.

Subsequent measurement Subsequent to initial recognition of an asset, the revaluation model is used for the measurement of land and buildings. Land is carried at fair value and Buildings are carried at fair value less accumulated depreciation and accumulated impairment losses. All other property, plant and equipment is stated at historical cost less accumulated depreciation and accumulated impairment losses. Land and buildings are independently valued annually by the Western Australian Land Information Authority (Valuations and Property Analytics) and recognised annually to ensure that the carrying amount does not differ materially from the asset’s fair value at the end of the reporting period. Land and buildings were revalued as at 1 July 2017 by the Western Australian Land Information Authority (Valuations and Property Analytics). The valuations were performed during the year ended 30 June 2017 and recognised at 30 June 2018. In undertaking the revaluation, fair value was determined by reference to market values for land: $18,626,050 (2017: $20,098,150) and buildings: $35,508,000 (2017: $35,430,000). For the remaining balance, fair value of buildings was determined on the basis of depreciated replacement cost and fair value of land was determined on the basis of comparison with market evidence for land with low level utility (high restricted use land).

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NOTES TO THE 5 Key Assets (continued) 5.1 Property, plant and equipment (continued) FINANCIAL Revaluation model: STATEMENTS 1. Fair Value where market-based evidence is available: for the year ended 30 June 2018 The fair value of land and buildings is determined on the basis of current market values determined by reference (continued) to recent market transactions. When buildings are revalued by reference to recent market transactions, the accumulated depreciation is eliminated against the gross carrying amount of the asset and the net amount restated to the revalued amount. 2. Fair value in the absence of market-based evidence: Buildings are specialised or where land is restricted: Fair value of land and buildings is determined on the basis of existing use. Existing use buildings: Fair value is determined by reference to the cost of replacing the remaining future economic benefits embodied in the asset, i.e. the depreciated replacement cost. Where the fair value of buildings is determined on the depreciated replacement cost basis, the gross carrying amount and the accumulated depreciation are restated proportionately with the change in the carrying amount of the asset. Restricted use land: Fair value is determined by comparison with market evidence for land with similar approximate utility (high restricted use land) or market value of comparable unrestricted land (low restricted use land).

5.1.1 Depreciation and impairment 2018 2017 ($’000) ($’000) Charge for the period Vehicles 9,304 9,027 Buildings 7,536 7,812 Plant and equipment 1,173 1,075 Leasehold improvements 139 50 Total depreciation for the period 18,152 17,964

As at 30 June 2018 there were no indications of impairment to property, plant and equipment. All surplus assets at 30 June 2018 have either been classified as assets held for sale or have been written-off.

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NOTES TO THE 5 Key Assets (continued) FINANCIAL 5.1 Property, plant and equipment (continued) 5.1.1 Depreciation and impairment (continued) STATEMENTS Please refer to note 5.2 for guidance in relation to the impairment assessment that has been performed for for the year ended 30 June 2018 intangible assets. (continued) Finite useful lives All property, plant and equipment having a limited useful life are systematically depreciated over their estimated useful lives in a manner that reflects the consumption of their future economic benefits. The exceptions to this rule include items under operating leases, assets held for sale, land and investment properties. Depreciation is generally calculated on a straight line basis, at rates that allocate the asset’s value, less any estimated residual value, over its estimated useful life. Typical estimated useful lives for the different asset classes for current and prior years are included in the table below:

Asset Useful life Buildings 40 years Vehicles 5 – 20 years Plant and equipment 3 – 10 years Software(a) 3 – 5 years (a) Software that is integral to the operation of related hardware. The estimated useful lives, residual values and depreciation method are reviewed at the end of each annual reporting period, and adjustments should be made where appropriate. Leasehold improvements are depreciated over the shorter of the lease term and their useful lives. Land which is considered to have an indefinite life, is not depreciated as its service potential has not, in any material sense, been consumed during the reporting period.

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NOTES TO THE 5 Key Assets (continued) FINANCIAL 5.1 Property, plant and equipment (continued) 5.1.1 Depreciation and impairment (continued) STATEMENTS Impairment for the year ended 30 June 2018 Non-financial assets, including items of property, plant and equipment, are tested for impairment whenever (continued) there is an indication that the asset may be impaired. Where there is an indication of impairment, the recoverable amount is estimated. Where the recoverable amount is less than the carrying amount, the asset is considered impaired and is written down to the recoverable amount and an impairment loss is recognised. Where an asset measured at cost is written down to its recoverable amount, an impairment loss is recognised through profit or loss. Where a previously revalued asset is written down to its recoverable amount, the loss is recognised as a revaluation decrement through other comprehensive income. As the Department is a not-for-profit entity, unless a specialised asset has been identified as a surplus asset, the recoverable amount of regularly revalued specialised assets is anticipated to be materially the same as fair value. If there is an indication that there has been a reversal in impairment, the carrying amount shall be increased to its recoverable amount. However this reversal should not increase the asset’s carrying amount above what would have been determined, net of depreciation or amortisation, if no impairment loss had been recognised in prior years. The risk of impairment is generally limited to circumstances where an asset’s depreciation is materially understated, where the replacement cost is falling or where there is a significant change in useful life. Each relevant class of assets is reviewed annually to verify that the accumulated depreciation/amortisation reflects the level of consumption or expiration of the asset’s future economic benefits and to evaluate any impairment risk from declining replacement costs.

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NOTES TO THE 5 Key Assets (continued) 5.2 Intangible assets FINANCIAL Intangible STATEMENTS assets for the year ended 30 June 2018 not yet available Computer (continued) for use software Total Year Ended 30 June 2017 1 July 2016 Cost – 1,392 1,392 Accumulated amortisation – (767) (767) Carrying amount at start of period – 625 625 Additions 2,881 15 2,896 Amortisation – (384) (384) Carrying amount at 30 June 2017 2,881 256 3,137 Year Ended 30 June 2018 1 July 2017 Cost 2,881 1,407 4,288 Accumulated amortisation – (1,151) (1,151) Carrying amount at start of period 2,881 256 3,137 Additions 10,052 – 10,052 Transfer 72 – 72 Amortisation – (246) (246) Carrying amount at 30 June 2018 13,005 10 13,015

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NOTES TO THE 5 Key Assets FINANCIAL 5.2 Intangible assets (continued) Initial recognition STATEMENTS Acquisitions of intangible assets costing $5,000 or more and internally generated intangible assets costing for the year ended 30 June 2018 $50,000 or more that comply with the recognition criteria as per AASB 138.57 (as noted below), are capitalised. (continued) Costs incurred below these thresholds are immediately expensed directly to the Statement of Comprehensive Income. Intangible assets are initially recognised at cost. For assets acquired at no cost or for nominal cost, the cost is their fair value at the date of acquisition. An internally generated intangible asset arising from development (or from the development phase of an internal project) is recognised if, and only if, all of the following are demonstrated: (a) the technical feasibility of completing the intangible asset so that it will be available for use or sale (b) an intention to complete the intangible asset and use or sell it (c) the ability to use or sell the intangible asset (d) the intangible asset will generate probable future economic benefit (e) the availability of adequate technical, financial and other resources to complete the development and to use or sell the intangible asset (f) the ability to measure reliably the expenditure attributable to the intangible asset during its development. Costs incurred in the research phase of a project are immediately expensed. Subsequent measurement The cost model is applied for subsequent measurement of intangible assets, requiring the asset to be carried at cost less any accumulated amortisation and accumulated impairment losses.

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NOTES TO THE 5 Key Assets (continued) FINANCIAL 5.2 Intangible assets (continued) 5.2.1 Amortisation and impairment STATEMENTS 2018 2017 for the year ended 30 June 2018 ($’000) ($’000) (continued) Charge for the period Computer software 246 384 Total amortisation for the period 246 384 As at 30 June 2018 there were no indications of impairment to intangible assets. The Department held no goodwill or intangible assets with an indefinite useful life during the reporting period. Amortisation of finite life intangible assets is calculated on a straight line basis at rates that allocate the asset’s value over its estimated useful life. All intangible assets controlled by the Department have a finite useful life and zero residual value. Estimated useful lives are reviewed annually. The estimated useful lives for each class of intangible asset are:

Asset Useful life Licenses up to 10 years Software(a) 3 – 5 years (a) Software that is not integral to the operation of any related hardware. Impairment of intangible assets Intangible assets with finite useful lives and intangible assets which are not available for use are tested for impairment annually or when an indication of impairment is identified. The policy in connection with testing for impairment is outlined in note 5.1.1.

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NOTES TO THE 6 Other assets and liabilities This section sets out those assets and liabilities that arose from the Department’s controlled operations and FINANCIAL includes other assets utilised for economic benefits and liabilities incurred during normal operations: STATEMENTS 2018 2017 for the year ended 30 June 2018 Notes ($’000) ($’000) (continued) Assets Receivables 6.1 5,167 9,257 Amounts receivable for services 6.2 38,593 31,682 Inventories 6.3 3,659 12,565 Other assets 6.4 2,431 3,508 Liabilities Payables 6.5 17,436 10,083 Other liabilities 6.6 24 3,589

6.1 Receivables 2018 2017 ($’000) ($’000) Current Receivables 2,565 5,980 Allowance for impairment of receivables (33) (28) GST receivable 2,635 3,305 5,167 9,257

The Department does not hold any collateral as security. Under the Fire and Emergency Services Act 1998 s.36Z(2) the Commissioner can take legal proceedings to recover unpaid Emergency Services Levy funds, which, in accordance with s.36O, are a charge on the leviable land. Receivables are recognised at original invoice amount less any allowances for uncollectible amounts (i.e. impairment). The carrying amount of net trade receivables is equivalent to fair value as it is due for settlement within 30 days.

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NOTES TO THE 6 Other assets and liabilities (continued) FINANCIAL 6.1 Receivables (continued) 6.1.1 Movement of the allowance for impairment of receivables STATEMENTS 2018 2017 for the year ended 30 June 2018 ($’000) ($’000) (continued) Balance at start of period 28 31 Doubtful debts expense 13 13 Amounts written off during the period (8) (16) Balance at end of period 33 28 The collectability of receivables is reviewed on an ongoing basis and any receivables identified as uncollectible are written-off against the allowance account. The allowance for uncollectible amounts (doubtful debts) is raised when there is objective evidence that the Department will not be able to collect the debts.

6.2 Amounts receivable for services 2018 2017 ($’000) ($’000) Current – – Non-current 38,593 31,682 38,593 31,682 Amounts receivable for services represent the non-cash component of service appropriations. It is restricted in that it can only be used for asset replacement or payment of leave liability. The Department receives funding on an accrual basis. The appropriations are paid partly in cash and partly as an asset (holding account receivable). The accrued amount receivable is accessible on the emergence of the cash funding requirement to cover asset replacement.

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NOTES TO THE 6 Other assets and liabilities (continued) FINANCIAL 6.3 Inventories 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Inventories held for distribution 1,099 9,832 (continued) Inventories held for consumption 2,560 2,733 3,659 12,565

Inventories held for distribution represent fire appliances under construction as part of the Emergency Services Levy capital grants process. These inventories are measured at cost. A capital grant expense is recognised when the fire appliance is completed and delivered to the local government authority. Inventory held for consumption represents fire appliances parts, consumable items, service exchange equipment and tools stored in the Fleet and Equipment Services workshop facility in O’Connor. These inventories are measured on a weighted average cost basis.

6.4 Other assets 2018 2017 ($’000) ($’000) Current Prepayments 2,431 2,646 Funds held in escrow for sale of FESA House – 862 2,431 3,508 Other non-financial assets include prepayments which represent payments in advance of receipt of goods or services or that part of expenditure made in one accounting period covering a term extending beyond that period. Funds held in escrow for sale of FESA House is an interest bearing deposit held pending the settlement of the sale of FESA House site. Settlement occurred in March 2018.

Department of Fire and Emergency Services | Annual Report 2017-18 99 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

NOTES TO THE 6 Other assets and liabilities (continued) FINANCIAL 6.5 Payables 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Current (continued) Trade payables 15,896 8,721 Accrued salaries 1,126 601 Accrued interest 335 420 GST payable 79 341 17,436 10,083 Trade payables are recognised at the amounts payable when the Department becomes obliged to make future payments as a result of a purchase of assets or services. The carrying amount is equivalent to fair value, as settlement is generally within 30 days. Accrued salaries represent the amount due to staff but unpaid at the end of the reporting period. Accrued salaries are settled within a fortnight of the reporting period end. The Department considers the carrying amount of accrued salaries to be equivalent to its fair value. The accrued salaries suspense account (See Note 7.3.1 ‘Restricted cash and cash equivalents’) consists of amounts paid annually, from Department income for salaries expense, into a suspense account to meet the additional cash outflow for employee salary payments in reporting periods with 53 pay days instead of the normal 52. This is due to next occur in 2021-22. No interest is received on this account. Accrued interest represents interest expense incurred but not yet paid as at reporting date. GST Payable is the Goods and Services tax raised from taxable sales by the Department due to the Australian Taxation Office.

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NOTES TO THE 6 Other assets and liabilities (continued) 6.6 Other liabilities FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Current (continued) Deferred revenue Prepaid lease revenue 24 23 RAC WA Emergency Rescue Helicopter sponsorship – 2,633 WA Prescribed Burning Forum – 71 Funds held in escrow for sale of FESA House – 862 24 3,589 Funds held in escrow represents the deposit for the sale of FESA House site held by Landcorp’s lawyer as part of the terms and conditions of the Contract of Sale. Settlement was executed in March 2018. 7 Financing This section sets out the material balances and disclosures associated with the financing and cash flows of the Department. Notes Borrowings 7.1 Finance Costs 7.2 Cash and cash equivalents 7.3 Reconciliation of cash 7.3.1 Reconciliation of operating activities 7.3.2 Commitments 7.4 Non-cancellable operating lease commitments 7.4.1 Capital commitments 7.4.2

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NOTES TO THE 7 Financing (continued) FINANCIAL 7.1 Borrowings 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Current (continued) Western Australian Treasury Corporation loan 2,440 9,390 Total current 2,440 9,390 Non current Western Australian Treasury Corporation loan 36,556 38,996 Total non-current 36,556 38,996

Balance at end of period 38,996 48,386 Borrowings refer to interest bearing liabilities raised from public borrowings through Western Australian Treasury Corporation, which is an interest bearing arrangement. Borrowings are classified as financial instruments. All interest bearing borrowings are initially recognised at the fair value of the consideration received less directly attributable transaction costs. The Department has classified all financial liabilities at ‘amortised cost’.

7.2 Finance costs 2018 2017 ($’000) ($’000) Interest expense 1,714 2,072 Loan guarantee fees 84 99 1,798 2,171 Finance costs includes the interest expense in connection to long term borrowings. The Department is required to pay a loan guarantee fee which represents the premium paid to Government, which acts as guarantor for all long term borrowings of the Department.

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NOTES TO THE 7 Financing (continued) FINANCIAL 7.3 Cash and cash equivalents 7.3.1 Reconciliation of cash STATEMENTS Cash at the end of the financial year as shown in the Statement of Cash Flows is reconciled to the related items for the year ended 30 June 2018 in the Statement of Financial Position as follows: (continued) 2018 2017 Notes ($’000) ($’000) Cash and cash equivalents 56,711 49,271 56,711 49,271

Restricted cash and cash equivalents 8.1 Current Royalties for Regions Fund(a) 1,036 222 Rental Bond Deposits(b) 3 1 Commonwealth Indian Ocean Territories funding – 12 Non current 53rd pay(c) 1,283 635 2,322 870

Total cash and cash equivalents 59,033 50,141 (a) Unspent funding for Royalties for Regions programs. (b) Bonds held as part of residential tenancy agreements. (c) Funds held for the purpose of providing for years in which 53 pay periods occur. This will next occur on 30 June 2022. For the purpose of the statement of cash flows, cash and cash equivalent (and restricted cash and cash equivalent) assets comprise cash on hand and short-term deposits with original maturities of three months or less that are readily convertible to a known amount of cash and which are subject to insignificant risk of changes in value.

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NOTES TO THE 7 Financing (continued) FINANCIAL 7.3 Cash and cash equivalents (continued) 7.3.2 Reconciliation of net cost of services to net cash flows provided by/(used in) operating activities STATEMENTS 2018 2017 for the year ended 30 June 2018 Notes ($’000) ($’000) (continued) Net cost of services (18,527) (33,910)

Non-cash items: Depreciation and amortisation expense 5.1, 5.2 18,398 18,348 Net loss (gain) on disposal of property, plant and equipment 4.6 214 (216) Services received free of charge 4.2 839 1,166 Doubtful debt expense 3.3 13 13 Impairment loss 5.1, 5.2 – – Other non-cash adjustments (909) (530)

(Increase)/decrease in operating assets(a): Current receivables (b) 3,455 (2,079) Other assets 215 (1,974) Current inventories 9,053 5,328

Increase/(decrease) in operating liabilities(a): Current payables (b) 4,555 2,490 Current provisions (2,252) 2,552 Non-current provisions 171 (259) Increase/(Decrease) in other liabilities (2,702) 2,451 Net GST receipts/(Payments)(c) (1,922) (1,338) Change in GST in receivables/payables (d) 2,330 1,401 Net cash used in operating activities 12,931 (6,557)

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NOTES TO THE 7 Financing (continued) FINANCIAL 7.3 Cash and cash equivalents (continued) 7.3.2 Reconciliation of net cost of services to net cash flows provided by/(used in) operating activities STATEMENTS (continued) for the year ended 30 June 2018 (a) In recognising the movement in assets and liabilities, items such as accrued capital expenditure and assets (continued) held in escrow pending the sale of non-current assets are not included as they do not form part of the reconciling operating items. (b) Note that the Australian Taxation Office (ATO) receivable/payable in respect of GST and the receivable/ payable in respect of the sale/purchase of non-current assets are not included in these items as they do not form part of the reconciling items. (c) This is the net GST paid/received, i.e. cash transactions. (d) This reverses out the GST in receivables and payables. 7.4 Commitments 7.4.1 Non-cancellable operating lease commitments 2018 2017 ($’000) ($’000) Commitments for minimum lease payments are payable as follows: Within 1 year 4,192 15,385 Later than 1 year and not later than 5 years 4,116 3,787 Later than 5 years 1,620 2,050 9,928 21,222 Operating leases are expensed on a straight line basis over the lease term as this represents the pattern of benefits derived from the leased properties. DFES’s aviation services, fleet, residential and commercial leases account for the majority of the non-cancellable operating lease commitments. The fleet lease term varies depending on the vehicle.

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NOTES TO THE 7 Financing (continued) FINANCIAL 7.4 Commitments (continued) 7.4.2 Capital expenditure commitments STATEMENTS Capital expenditure commitments, being contracted capital expenditure additional to the amounts reported in the for the year ended 30 June 2018 financial statements, are payable as follows: (continued) 2018 2017 ($’000) ($’000) Within 1 year 8,086 18,994 Later than 1 year and not later than 5 years 1,380 2,934 9,466 21,928 Judgements made by management in applying accounting policies – operating lease commitments The Department has entered into a number of leases for buildings for branch office accommodation. Some of these leases relate to buildings of a temporary nature and it has been determined that the lessor retains substantially all the risks and rewards incidental to ownership. Accordingly, these leases have been classified as operating leases. 8 Risks and contingencies This note sets out the key risk management policies and measurement techniques of the Department. Notes Financial risk management 8.1 Contingent liabilities 8.2 Fair value measurement 8.3

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NOTES TO THE 8 Risks and contingencies (continued) 8.1 Financial risk management FINANCIAL Financial instruments held by the Department are cash and cash equivalents, restricted cash and cash STATEMENTS equivalents, Western Australian Treasury Corporation (WATC) borrowings, receivables and payables. The for the year ended 30 June 2018 Department has limited exposure to financial risks. The Department’s overall risk management program focuses (continued) on managing the risks identified below. (a) Summary of risks and risk management Credit risk Credit risk arises when there is the possibility of the Department’s receivables defaulting on their contractual obligations resulting in financial loss to the Department. The maximum exposure to credit risk at the end of the reporting period in relation to each class of recognised financial asset is the gross carrying amount of those assets inclusive of any allowance for impairment as shown in the table at Note 8.1(c) ‘Financial instruments disclosures’ and Note 6.1 ‘Receivables’. Credit risk associated with the Department’s financial assets is minimal because the main receivable is the amounts receivable for services (holding account). For receivables other than government, the Department trades only with recognised, creditworthy third parties. The Department has policies in place to ensure that sales of products and services are made to customers with an appropriate credit history. In addition, receivable balances are monitored on an ongoing basis with the result that the Department’s exposure to bad debts is minimal. At the end of the reporting period there were no significant concentrations of credit risk.

Liquidity risk Liquidity risk arises when the Department is unable to meet its financial obligations as they fall due. The Department is exposed to liquidity risk through its trading in the normal course of business. The Department has appropriate procedures to manage cash flows including drawdown of appropriations by monitoring forecast cash flows to ensure that sufficient funds are available to meet its commitments.

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial risk management (continued) Market risk STATEMENTS Market risk is the risk that changes in market prices such as foreign exchange rates and interest rates will affect for the year ended 30 June 2018 the Department’s income or the value of its holdings of financial instruments. The Department does not trade in (continued) foreign currency and is not materially exposed to other price risks. The Department’s exposure to market risk for changes in interest rates relate primarily to the long-term debt obligations. All borrowings are due to the WATC and are repayable at variable rates with varying maturities. Other than as detailed in the interest rate sensitivity analysis table at Note 8.1(e), the Department is not exposed to interest rate risk because the majority of cash and cash equivalents and restricted cash are non-interest bearing and it has no borrowings other than, WATC borrowings.

(b) Categories of financial instruments The carrying amounts of each of the following categories of financial assets and financial liabilities at the end of the reporting period are: 2018 2017 ($'000) ($'000) Financial Assets Cash and cash equivalents 56,711 49,271 Restricted cash and cash equivalents 2,322 870 Other financial assets(a) – 862 Receivables (b) 41,125 37,634

Financial Liabilities Financial liabilities measured at amortised cost 56,353 58,990 (a) See note 6.6 ‘Other assets and liabilities’ (b) The amount of receivables excludes GST recoverable from the ATO (statutory receivable).

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NOTES TO THE 8 Risks and contingencies FINANCIAL 8.1 Financial instruments (continued) (c) Credit risk STATEMENTS The following table discloses the Departments’ maximum exposure to credit risk and the ageing analysis of for the year ended 30 June 2018 financial assets. The Department’s maximum exposure to credit risk at the end of the reporting period is the (continued) carrying amount of financial assets as shown below. The table discloses the ageing of financial assets that are past due but not impaired and impaired financial assets. The table is based on information provided to senior management of the Department. The Department does not hold any collateral as security. Under the Fire and Emergency Services Act 1998 s.36Z(2) the Commissioner can take legal proceedings to recover unpaid Emergency Services Levy funds, which, in accordance with s.36O, are a charge on the leviable land. Ageing analysis of financial assets Past due but not impaired Not past due 3 months Impaired Carrying and not up to 1-3 to More than financial amount impaired 1 month months 1 year 1-5 years 5 years assets ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) 2018 Cash and cash equivalents 56,711 56,711 Restricted cash and cash equivalents 2,322 2,322 Receivables(a) 2,532 2,190 145 27 95 70 5 – Amounts receivable for services 38,593 38,593 Other financial assets – – 100,158 99,816 145 27 95 70 5 –

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial instruments (continued) STATEMENTS (c) Credit risk (continued) for the year ended 30 June 2018 Ageing analysis of financial assets (continued) Past due but not impaired Not past due 3 months Impaired Carrying and not up to 1-3 to More than financial amount impaired 1 month months 1 year 1-5 years 5 years assets ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) 2017 Cash and cash equivalents 49,271 49,271 Restricted cash and cash equivalents 870 870 Receivables(a) 5,952 5,498 239 97 99 12 7 – Amounts receivable for services 31,682 31,682 Other financial assets 862 862 88,637 88,183 239 97 99 12 7 – (a) The amount of receivables excludes the GST recoverable from the ATO (statutory receivable).

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial instruments (continued) (d) Liquidity risk and interest rate exposure STATEMENTS The following table details the Department’s interest rate exposure and the contractual maturity analysis of for the year ended 30 June 2018 financial assets and financial liabilities. The maturity analysis section includes interest and principal cash flows. (continued) The interest rate exposure section analyses only the carrying amounts of each item. Interest rate exposure and maturity analysis of financial assets and financial liabilities Weigh­ Interest rate exposure Maturity dates ted Average Effec- tive Fixed Variable Non- More Interest Carrying Interest interest interest Nominal Up to 1 1-3 3-12 1-5 than Rate amount rate rate bearing amount month months months years 5 years % ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) 2018 Financial assets Cash and cash equivalents 56,711 – – 56,711 56,711 56,711 – – – – Restricted cash and cash equivalents 2,322 – – 2,322 2,322 2,322 – – – – Receivables(a) 2,532 – – 2,532 2,532 2,532 – – – – Amounts receivable for services 38,593 – – 38,593 38,593 – – – – 38,593 Other financial assets – – – – – – – – – – 100,158 – – 100,158 100,158 61,565 – – – 38,593

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial instruments (continued) STATEMENTS (d) Liquidity risk and interest rate exposure (continued) for the year ended 30 June 2018 Interest rate exposure and maturity analysis of financial assets and financial liabilities (continued) Weigh­ Interest rate exposure Maturity dates ted Average Effec- tive Fixed Variable Non- More Interest Carrying Interest interest interest Nominal Up to 1 1-3 3-12 1-5 than Rate amount rate rate bearing amount month months months years 5 years % ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) Financial liabilities Payables(a) 17,357 – – 17,357 17,357 17,357 – – – – WATC borrowings 4.19% 38,996 – 38,996 – 45,210 1,012 – 3,195 14,496 26,507 Funds held in escrow – – – – – – – – – – 56,353 – 38,996 17,357 62,567 18,369 – 3,195 14,496 26,507

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial instruments (continued) STATEMENTS (d) Liquidity risk and interest rate exposure (continued) for the year ended 30 June 2018 Interest rate exposure and maturity analysis of financial assets and financial liabilities (continued) Weigh­ Interest rate exposure Maturity dates ted Average Effec- tive Fixed Variable Non- More Interest Carrying Interest interest interest Nominal Up to 1 1-3 3-12 1-5 than Rate amount rate rate bearing amount month months months years 5 years % ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) 2017 Financial assets Cash and cash equivalents 49,271 – – 49,271 49,271 49,271 – – – – Restricted cash and cash equivalents 870 – – 870 870 870 – – – – Receivables(a) 5,952 – – 5,952 5,952 5,952 – – – – Amounts receivable for services 31,682 – – 31,682 31,682 – – – – 31,682 Other financial assets 1.36% 862 – 862 – 862 – – 862 – – 88,637 – 862 87,775 88,637 56,093 – 862 – 31,682

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial instruments (continued) STATEMENTS (d) Liquidity risk and interest rate exposure (continued) for the year ended 30 June 2018 Interest rate exposure and maturity analysis of financial assets and financial liabilities (continued) Weigh­ Interest rate exposure Maturity dates ted Average Effec- tive Fixed Variable Non- More Interest Carrying Interest interest interest Nominal Up to 1 1-3 3-12 1-5 than Rate amount rate rate bearing amount month months months years 5 years % ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) ($’000) Financial liabilities Payables(a) 9,742 – – 9,742 9,742 9,742 – – – – WATC borrowings(b) 4.20% 48,386 6,871 41,515 – 63,072 1,109 7,002 3,050 14,966 36,945 Funds held in escrow 1.36% 862 – 862 – 862 – – 862 – – 58,990 6,871 42,377 9,742 73,676 10,851 7,002 3,912 14,966 36,945

(a) The amount of receivables excludes the GST recoverable from the ATO (statutory receivable/payable). (b) WATC Borrowings maturity analysis has been restated for the 2016-17 financial year to include the projected interest payments.

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial instruments (continued) (e) Interest rate sensitivity analysis STATEMENTS The following table represents a summary of the interest rate sensitivity of the Department’s financial assets and for the year ended 30 June 2018 liabilities at the end of the reporting period on the surplus for the period and equity for a 1% change in interest (continued) rates. It is assumed that the change in interest rates is held constant throughout the reporting period. -100 basis points +100 basis points Carrying amount Surplus Equity Surplus Equity ($’000) ($’000) ($’000) ($’000) ($’000) 2018 Financial assets Other financial assets – – – – –

Financial liabilities WATC borrowings 38,996 390.0 390.0 (390.0) (390.0) Funds held in escrow – – – – – Total (decrease)/ increase 390.0 390.0 (390.0) (390.0)

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.1 Financial instruments (continued) STATEMENTS (e) Interest rate sensitivity analysis (continued) for the year ended 30 June 2018 -100 basis points +100 basis points (continued) Carrying amount Surplus Equity Surplus Equity ($’000) ($’000) ($’000) ($’000) ($’000) 2017 Financial assets Other financial assets 862 (8.6) (8.6) 8.6 8.6

Financial liabilities WATC borrowings 41,515 415.2 415.2 (415.2) (415.2) Funds held in escrow 862 8.6 8.6 (8.6) (8.6) Total (decrease)/ increase 415.2 415.2 (415.2) (415.2)

Fair Values All financial assets and liabilities recognised in the Statement of Financial Position, whether they are carried at cost or fair value, are recognised at amounts that represent a reasonable approximation of fair value unless otherwise stated in the applicable notes.

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NOTES TO THE 8 Risks and contingencies (continued) 8.2 Contingent liabilities FINANCIAL The following contingent liabilities are additional to the liabilities included in the financial statements. STATEMENTS Contaminated sites for the year ended 30 June 2018 The Department currently has 20 sites that are classified as “possibly contaminated – investigation required”. (continued) Preliminary Site Investigations (PSI’s) for these 20 locations has recently been completed with all recommending further assessment through Detailed Site Investigations (DSI’s) from the Department of Water and Environmental Regulation (DWER). A DSI has been conducted at the Department’s Training Centre (Academy) and a Site Management Plan for the Academy has now been put into place for this site. In addition, a DSI has also recently been completed for the Department’s O’Connor workshop. Key findings from the DSI have been communicated by DFES to the workshops personnel. The Department has further past and present sites that may be classified pending further investigations regarding the legacy of the use of Aqueous Film Forming Foams (called AFFF) which contains perfluorooctane sulphonate (PFOS) and perfluorooctanoic acid (PFOA), two substances that are regarded as “emerging contaminants” or pollutants that are potentially a threat to human health or the environment. These chemicals were also common in household and industry goods such as paints, non-stick cooking surfaces, pots, pans, baking paper, food packaging, carpet stain protection and to waterproof clothes and camping gear. The Department withdrew the AFFF from service in 2003. The Department has recently commissioned an environmental consultant to conduct a GIS-based Remaining Sites Risk Assessment (RSRA) to determine a prioritised list of sites that may require further investigation based on the risks associated with the past use and/or storage of AFFF. A draft RSRA report has recently been submitted to the Department and DWER for review. Aluminium Composite Panels The Department of Mines, Industry Regulation and Safety (DMIRS) have been auditing public sector agencies with buildings vested in their control regarding the risk associated with potentially combustible aluminium composite panels. As part of this investigation, the Department has identified one building that requires remediation to remove the hazard. Currently identified remediation works is estimated to cost in excess of $250,000 and is subject to more risks being identified.

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NOTES TO THE 8 Risks and contingencies (continued) FINANCIAL 8.3 Fair value measurement Assets measured at fair value: STATEMENTS Fair value for the year ended 30 June 2018 at the end of (continued) Level 1 Level 2 Level 3 the period Note ($’000) ($’000) ($’000) ($’000) 2018 Non-current assets classified as held for sale 9.8 – – – – Land 5.1 – 18,626 79,667 98,293 Buildings 5.1 – 35,508 144,784 180,292 – 54,134 224,451 278,585 2017 Non-current assets classified as held for sale 9.8 – 8,000 – 8,000 Land 5.1 – 20,098 78,012 98,110 Buildings 5.1 – 35,430 133,147 168,577 – 63,528 211,159 274,687 Transfers between level 2 and 3 are the result of the facilities on the land being commissioned resulting in a change in valuation methodology from market value to current use or decommissioned resulting in the land measured at market value.

Valuation techniques to derive Level 2 fair values Level 2 fair values of Non-current assets held for sale, land and buildings (office accommodation) are derived using the market approach. Market evidence of sales prices of comparable land and buildings (office accommodation) in close proximity is used to determine price per square metre. Non-current assets held for sale are written down to fair value less costs to sell. Fair value has been determined by reference to the contract of sale for this property. See note 9.8 ‘Non-current assets classified as held for sale’.

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NOTES TO THE 8 Risks and contingencies (continued) 8.3 Fair value measurements (continued) FINANCIAL Fair value measurements using significant unobservable inputs (Level 3) STATEMENTS Land Buildings for the year ended 30 June 2018 ($’000) ($’000) (continued) 2018 Fair Value at the beginning of the period 78,012 133,147 Additions 755 13,152 Revaluation increments/(decrements) recognised in Other Comprehensive Income (4,500) 5,012 Transfers from/(to) Level 2 Vincent Career Fire Station 5,400 – Disposals – – Depreciation expense – (6,527) Fair Value at the end of the year 79,667 144,784 Total gains or losses for the period included in profit or loss, under ‘Other Gains’ – –

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NOTES TO THE 8 Risks and contingencies (continued) 8.3 Fair value measurements (continued) FINANCIAL Land Buildings ($’000) ($’000) STATEMENTS 2017 for the year ended 30 June 2018 (continued) Fair Value at the beginning of the period 82,816 120,139 Additions 2,839 18,238 Revaluation increments/(decrements) recognised in Other Comprehensive Income (7,818) 1,513 Transfers from/(to) Level 2 Albany Career Fire Station 922 – Wangara Career Fire Station (747) – Disposals – – Depreciation expense – (6,743) Fair Value at the end of the year 78,012 133,147 Total gains or losses for the period included in profit or loss, under ‘Other Gains’ – –

Valuation processes There were no changes in valuation techniques during the period. Transfers in and out of a fair value level are recognised on the date of the event or change in circumstances that caused the transfer. Transfers between level 2 and 3 are generally the result of the specialised emergency service facilities being commissioned or decommissioned resulting in a change in inputs required to value the land and buildings. Transfers also occur due to assets newly classified as non-current assets held for sale as Treasurer’s instructions require valuations of land, buildings and infrastructure to be categorised within Level 3 where the valuations will utilise significant Level 3 inputs on a recurring basis.

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NOTES TO THE 8 Risks and contingencies (continued) 8.3 Fair value measurements (continued) FINANCIAL Land (Level 3 fair values) STATEMENTS Fair value for restricted use land is based on comparison with market evidence for land with low level utility (high for the year ended 30 June 2018 restricted use land). The relevant comparators of land with low level utility is selected by the Western Australian Land Information Authority (Valuation Services) and represents the application of a significant Level 3 input in (continued) this valuation methodology. The fair value measurement is sensitive to values of comparator land, with higher values of comparator land correlating with higher estimated fair values of land. Buildings (Level 3 fair values) Fair value for existing use specialised buildings assets is determined by reference to the cost of replacing the remaining future economic benefits embodied in the asset, i.e. the depreciated replacement cost. Depreciated replacement cost is the current replacement cost of an asset less accumulated depreciation calculated on the basis of such cost to reflect the already consumed or expired economic benefit, or obsolescence, and optimisation (where applicable) of the asset. Current replacement cost is generally determined by reference to the market observable replacement cost of a substitute asset of comparable utility and the gross project size specifications. Valuation using depreciated replacement cost utilises the significant Level 3 input and consumed economic benefit/obsolescence of the asset which is estimated by the Western Australian Land Information Authority (Valuation Services). The fair value measurement is sensitive to the estimate of consumption/obsolescence, with higher values of the estimate correlating with lower estimated fair values of buildings.

Basis of Valuation In the absence of market-based evidence, due to the specialised nature of some non-financial assets, these assets are valued at Level 3 of the fair value hierarchy on an existing use basis. The existing use basis recognises that restrictions or limitations have been placed on their use and disposal when they are not determined to be surplus to requirements. These restrictions are imposed by virtue of the assets being held to deliver a specific community service.

Amendments to AASB 13 Mandatory application of AASB 2016-4 Amendments to Australian Accounting Standards – Recoverable Amount of Non-Cash-Generating Specialised Assets of Not-for-Profit Entities has no financial impact for the Department as the Department is classified as not-for-profit and regularly revalues specialised property, plant and equipment assets. Therefore, fair value the recoverable amount of such assets is expected to be materially the same as fair value.

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NOTES TO THE 9 Other disclosures This section includes additional material disclosures required by accounting standards or other pronouncements, FINANCIAL for the understanding of this financial report. STATEMENTS Notes for the year ended 30 June 2018 Events occurring after the end of the reporting period 9.1 (continued) Future impact of Australian standards issued not yet operative 9.2 Key management personnel 9.3 Related party transactions 9.4 Affiliated bodies 9.5 Special purpose financial statements 9.6 Remuneration of auditors 9.7 Non-current assets classified as assets held for sale 9.8 Equity 9.9 Supplementary financial information 9.10 Indian Ocean Territories 9.11 Explanatory statement 9.12

9.1 Events occurring after reporting date Machinery of Government (MOG) On the 1st of July 2018 the Office of Emergency Management (OEM) was merged into the Department. OEM functions together with the secretary support to the State Emergency Management Committee, its subcommittees and reference groups will largely continue and will be the responsibility of the Department. As a result of the MOG changes, the functions of the OEM, staff and all assets, rights, liabilities and obligations have been transferred to the Department, effective from 1st July 2018.

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NOTES TO THE 9 Other disclosures (continued) 9.2 Future impact of Australian standards issued not yet operative FINANCIAL The Department cannot early adopt an Australian Accounting Standard unless specifically permitted by TI 1101 STATEMENTS ‘Application of Australian Accounting Standards and Other Pronouncements’ or by an exemption from TI 1101. for the year ended 30 June 2018 Where applicable, the Department plans to apply the following Australian Accounting Standards from their (continued) application date. Operative for reporting periods beginning on/ after AASB 9 Financial Instruments 1 Jan 2018 This Standard supersedes AASB 139 Financial Instruments: Recognition and Measurement, introducing a number of changes to accounting treatments. The mandatory application date of this Standard is currently 1 January 2018 after being amended by AASB 2012-6, AASB 2013-9 and AASB 2014-1 Amendments to Australian Accounting Standards. The Department has assessed that recognition of expected credit losses will not have a material impact on the Department’s Surplus/(Deficit) for the period.

AASB 15 Revenue from Contracts with Customers 1 Jan 2019 This Standard establishes the principles that the Department shall apply to report useful information to users of financial statements about the nature, amount, timing and uncertainty of revenue and cash flows arising from a contract with a customer. The mandatory application date of this Standard is currently 1 January 2019 after being amended by AASB 2016-7. The Department’s income is principally derived from a legislated involuntary transfer in the form of a levy which will be measured under AASB 1058 and will be unaffected by this change.

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.2 Future impact of Australian standards issued not yet operative (continued) Operative for STATEMENTS reporting periods for the year ended 30 June 2018 beginning on/ (continued) after AASB 16 Leases 1 Jan 2019 This Standard introduces a single lessee accounting model and requires a lessee to recognise assets and liabilities for all leases with a term of more than 12 months, unless the underlying asset is of low value. Whilst the impact of AASB 16 has not yet been quantified, the entity currently has commitments for $9,927,534 of non-cancellable operating leases which are expected to be brought onto the statement of financial position at the date. of initial application. Interest and amortisation expense will increase and rental expense will decrease. The Department is finalising a number of service contract negotiations that relate to a further $40,000,000 of expenditure over 3 years with significant leasing elements that are not recognised in the financial statements or disclosed as commitments. A significant portion of these contracts will be accounted for under AASB 16 Leases.

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.2 Future impact of Australian standards issued not yet operative (continued) Operative for STATEMENTS reporting periods for the year ended 30 June 2018 beginning on/ (continued) after AASB 1058 Income of Not-for-Profit Entities 1 Jan 2019 This Standard clarifies and simplifies the income recognition requirements that apply to not-for-profit (NFP) entities, more closely reflecting the economic reality of NFP entity transactions that are not contracts with customers. Timing of income recognition is dependent on whether such a transaction gives rise to a liability or other performance obligation (a promise to transfer a good or service), or a contribution by owners, related to an asset (such as cash or another asset) received by an entity. On initial application the Department will recognise a number of peppercorn leases through an adjustment to retained earnings based on a valuation provided by Western Australian Land Information Authority – Valuation Services. Based on current information management have determined any adjustment for peppercorn leases will not be material.

AASB 1059 Service Concession Arrangements: Grantors 1 Jan 2019 This Standard addresses the accounting for a service concession arrangement (a type of public private partnership) by a grantor that is a public sector entity by prescribing the accounting for the arrangement from the grantor’s perspective. Timing and measurement for the recognition of a specific asset class occurs on commencement of the arrangement and the accounting for associated liabilities is determined by whether the grantee is paid by the grantor or users of the public service provided. The Department has no public private partnerships within scope of the Standard.

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.2 Future impact of Australian standards issued not yet operative (continued) Operative for STATEMENTS reporting periods for the year ended 30 June 2018 beginning on/ (continued) after AASB 2010-7 Amendments to Australian Accounting Standards arising from AASB 9 1 Jan 2018 (December 2010) [AASB 1, 3, 4, 5, 7, 101, 102, 108, 112, 118, 120, 121, 127, 128, 131, 132, 136, 137, 139, 1023 & 1038 and Int 2, 5, 10, 12, 19 & 127] This Standard makes consequential amendments to other Australian Accounting Standards and Interpretations as a result of issuing AASB 9 in December 2010. The mandatory application date of this Standard has been amended by AASB 2012-6 and AASB 2014-1 to 1 January 2018.

AASB 2014-1 Amendments to Australian Accounting Standards 1 Jan 2018 Part E of this Standard makes amendments to AASB 9 and consequential amendments to other Standards. These changes have no impact as Appendix E has been superseded and the Department was not permitted to early adopt AASB 9.

AASB 2014-5 Amendments to Australian Accounting Standards arising from AASB 15 1 Jan 2018 This Standard gives effect to the consequential amendments to Australian Accounting Standards (including Interpretations) arising from the issuance of AASB 15. The mandatory application date of this Standard has been amended by AASB 2015-8 to 1 January 2018. The Department has determined an immaterial impact from the application of the Standard as the Department is primarily funded through an involuntary levy on rateable properties.

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.2 Future impact of Australian standards issued not yet operative (continued) Operative for STATEMENTS reporting periods for the year ended 30 June 2018 beginning on/ (continued) after AASB 2014-7 Amendments to Australian Accounting Standards arising from AASB 9 1 Jan 2018 (December 2014) This Standard gives effect to the consequential amendments to Australian Accounting Standards (including Interpretations) arising from the issuance of AASB 9 (December 2014).

AASB 2016-3 Amendments to Australian Accounting Standards – Clarifications to AASB 15 1 Jan 2018 This Standard clarifies identifying performance obligations, principal versus agent considerations, timing of recognising revenue from granting a licence, and, provides further transitional provisions to AASB 15.

AASB 2016-8 Amendments to Australian Accounting Standards – Australian Implementation 1 Jan 2019 Guidance for Not-for-Profit Entities This Standard inserts Australian requirements and authoritative implementation guidance for not-for-profit entities into AASB 9 and AASB 15. This guidance assists not-for-profit entities in applying those Standards to particular transactions and other events. There is no financial impact.

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NOTES TO THE 9 Other disclosures (continued) 9.3 Key management personnel FINANCIAL The Department has determined that key management personnel include Ministers and senior officers of the STATEMENTS Department. However, the Department is not obligated to compensate Ministers and therefore disclosures in for the year ended 30 June 2018 relation to Ministers’ compensation may be found in the Annual Report on State Finances. (continued) Total compensation for senior officers of the Department for the reporting period are presented within the following bands: Compensation Band ($) 2018 2017 60,001 – 70,000 – 1 80,001 – 90,000 – 1 90,001 – 100,000 1 – 120,001 – 130,000 1 – 140,001 – 150,000 1 – 160,001 – 170,000 1 – 170,001 – 180,000 1 – 180,001 – 190,000 – 1 190,001 – 200,000 – 1 200,001 – 210,000 – 1 210,001 – 220,000 – 2 230,001 – 240,000 2 1 240,001 – 250,000 3 1 270,001 – 280,000 – 1 280,001 – 290,000 – 1 390,001 – 400,000 1 – 420,001 – 430,000 – 1

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NOTES TO THE 9 Other disclosures (continued) 9.3 Key management personnel (continued) FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Short‑term employee benefits 1,990 2,287 (continued) Post‑employment benefits 245 279 Other long‑term benefits 69 70 Termination benefits – – 2,304 2,636 Total compensation includes the superannuation expense incurred by the Department in respect of senior officers.

9.4 Related party transactions The Department is a wholly owned and controlled entity of the State of Western Australia. In conducting its activities, the Department is required to pay various taxes and levies based on the standard terms and conditions that apply to all tax and levy payers to the State and entities related to the State. Related parties of the department include: • all Ministers and their close family members, and their controlled or jointly controlled entities • all senior officers and their close family members, and their controlled or jointly controlled entities • other departments and public sector entities, including related bodies included in the whole of government consolidated financial statements • associates and joint ventures, that are included in the whole of government consolidated financial statements • GESB and FESSF.

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.4 Related party transactions (continued) Related party transactions required to be disclosed STATEMENTS There have been no related party transactions other than transactions that would occur within a normal supplier for the year ended 30 June 2018 or client/recipient relationship on terms and conditions no more or less favourable than those which it is (continued) reasonable to expect the Department would have adopted if dealing with that individual entity at arm’s length in the same circumstance.

Significant transactions with government related entities • Service appropriations (Note 4.2) • Contributed equity (Note 9.9) Services received free of charge (Note 4.2) • Royalties for Regions Fund (Note 4.2) • Superannuation payments to GESB and FESSF (Note 3.1(a)) • Remuneration for services provided by the Auditor General (9.7).

Material transactions with related parties Outside of normal citizen type transactions with the Department, there were no other related party transactions that involved key management personnel an /or their close family members and/or their controlled (or jointly controlled) entities.

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NOTES TO THE 9 Other disclosures (continued) 9.5 Affiliated bodies FINANCIAL The following are classified as non-government affiliated bodies and receive direct and/or indirect financial STATEMENTS assistance. Direct financial assistance is given in the form of a grant (see note 12) and minor reimbursements. for the year ended 30 June 2018 Indirect financial assistance is given in the form of in kind benefits including office accommodation and minor (continued) administrative support. 2018 2017 ($’000) ($’000) Western Australian Volunteer Fire Brigades Association Inc. 400 420 Volunteer Fire and Rescue Services Association of WA Inc. 149 126 Volunteer Marine Rescue Western Australia Inc. 89 85 Emergency Services Volunteer Association Inc. 78 77 716 708 Surf Life Saving Western Australia Inc. and SES Volunteers Association of Western Australia Inc. are no longer disclosed as they do not meet the definition of an affiliated body.

9.6 Special purpose financial statements WA Volunteer Fire Brigades Trust(a) The purpose of the account is to hold funds pursuant to the last will and testament of Cecilia Veal for the use of Volunteer Fire Brigades in Western Australia. 2018 2017 ($’000) ($’000) Balance at start of period 452 443 Receipts 29 9 Payments – – Balance at end of period 481 452

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.6 Special purpose financial statements (continued) Coolgardie Volunteer Fire Brigade Trust(a) STATEMENTS The purpose of the account is to hold funds pursuant to the last will and testament of Frances Tree for the use for the year ended 30 June 2018 of Coolgardie Volunteer Fire Brigade. During the 2016-17 reporting period the Department’s Coolgardie Volunteer (continued) Fire Brigade Trust Committee approved a disbursement request from the Brigade for the construction of a club room for the use of the volunteers. Construction of the club room was completed during this reporting period with disbursements totalling $133,116 (2017: $123,200). 2018 2017 ($’000) ($’000) Balance at start of period 186 303 Receipts 2 6 Payments (133) (123) Balance at end of period 55 186 (a) Established under section 16(1)(c) of Financial Management Act 2006. 9.7 Remuneration of auditors 2018 2017 ($’000) ($’000) Remuneration payable to the Auditor General in respect of the audit for the current financial period is as follows: Auditing the accounts, controls, financial statements and key performance indicators 158 145

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NOTES TO THE 9 Other disclosures (continued) 9.8 Non-current assets classified as held for sale FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Land (continued) Opening Balance 8,000 – Assets reclassified as held for sale – 8,000 Total assets classified as held for sale 8,000 8,000 Less assets sold (8,000) – Closing balance – 8,000

In 2012 the Department‘s management committed to the sale of the former FESA house site, located at 480 Hay Street Perth and subsequently classified the asset as held for sale. In December 2013 the FES Ministerial body entered into a contract of sale with a buyer. The terms of sale were lower than the carrying value of the land therefore a $12.26m impairment loss was recognised at 30 June 2014. The sale of the former FESA House site was settled in March 2018.

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NOTES TO THE 9 Other disclosures (continued) 9.9 Equity FINANCIAL 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Contributed equity (continued) Balance at start of period 350,102 345,817

Contributions by owners Capital appropriation from State Government – –

Other contributions by owners Royalties for Regions Fund – Regional Community Services Account 1,562 1,445

Transfer of net assets from other agencies Transfer of Land from Department of Planning, Lands and Heritage 1,580 2,840 Total contributions by owners 3,142 4,285 Balance at end of period 353,244 350,102

Reserves Asset revaluation surplus Balance at start of period 43,806 50,611 Net revaluation increments / (decrements) Land (5,474) (6,954) Buildings 5,848 149 Balance at end of period 44,180 43,806

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.9 Equity (continued) 2018 2017 STATEMENTS ($’000) ($’000) for the year ended 30 June 2018 Accumulated surplus/(deficit) (continued) Balance at start of period (17,078) (16,542) Result for the period 21,899 (536) Balance at end of period 4,821 (17,078) Total equity at end of period 402,245 376,830

9.10 Supplementary financial information 2018 2017 ($’000) ($’000) (a) Write-Offs During the financial year, nil (2017: $601,912) was written off the Department’s asset register under the authority of: The accountable authority – – The Minister – – Executive Council – 602 – 602

(b) Losses through theft, defaults and other causes Losses of public money and public and other property through theft or default 8 18 Amounts recovered – – 8 18

(c) Gifts of public property Gifts of public property provided by the Department. 6 – 6 –

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NOTES TO THE 9 Other disclosures (continued) 9.11 Indian Ocean Territories FINANCIAL The Commonwealth Department of Infrastructure, Regional Development and Cities provides funding for the STATEMENTS Department to deliver: for the year ended 30 June 2018 • Support the provision of community safety / prevention programs. (continued) • Assess commercial and industrial building plans, inspect completed buildings for compliance with National Construction Code and test fire safety equipment. • Undertake fire safety assessments. • Support fire and emergency services and volunteer marine rescue groups, including: training, emergency exercises, inspect and provide advice on personal protective clothing and personal protective equipment. • Provide advice on emergency recovery plans. • Provide a Volunteer Assistance Program. 2018 2017 ($’000) ($’000) Opening balance 12 139 Total receipts 133 10 Total expenditure (161) (137) Closing Balance (16) 12

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NOTES TO THE 9 Other disclosures (continued) 9.12 Explanatory statement FINANCIAL All variances between estimates (original budget) and actual results for 2018, and between the actual results for STATEMENTS 2018 and 2017 are shown below. for the year ended 30 June 2018 Narratives are provided for key variations selected from observed major variances, which are generally greater than: (continued) • 5% and $7.9 million for the Statements of Comprehensive Income and Cash Flows; and, • 5% and $9.5 million for the Statement of Financial Position. Variance between Variance actual between results Statement of Comprehensive Estimate Actual Actual estimate for 2018 Income Variance 2018 2018 2017 and actual and 2017 (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000)

Expenses Employee benefits expense 206,063 206,297 198,819 234 7,478 Supplies and services 97,623 103,072 109,797 5,449 (6,725) Depreciation and amortisation 23,038 18,398 18,348 (4,640) 50 Finance costs 7,205 1,798 2,171 (5,407) (373) Accommodation expenses 8,731 10,889 7,141 2,158 3,748 Grants and subsidies 46,238 50,552 54,423 4,314 (3,871) Loss on disposal of non- current assets – 214 – 214 214 Other expenditure 6,611 7,375 5,475 764 1,900 Total cost of services 395,509 398,595 396,174 3,086 2,421

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9 Other disclosures (continued) Variance NOTES TO THE between FINANCIAL 9.12 Explanatory statement (continued) Variance actual between results STATEMENTS Statement of Comprehensive Estimate Actual Actual estimate for 2018 for the year ended 30 June 2018 Income Variance 2018 2018 2017 and actual and 2017 (continued) (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000)

Income Revenue User charges and fees 359,740 368,083 351,548 8,343 16,535 Commonwealth grants and contributions 5,891 4,470 4,846 (1,421) (376) Interest revenue – 200 109 200 91 Other revenue 4,622 7,315 5,545 2,693 1,770 Total revenue 370,253 380,068 362,048 9,815 18,020

Gains Gain on disposal of non- current assets 1,750 – 216 (1,750) (216) Total gains 1,750 – 216 (1,750) (216) Total income other than income from State Government 372,003 380,068 362,264 8,065 17,804 NET COST OF SERVICES 23,506 18,527 33,910 (4,979) (15,383)

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9 Other disclosures (continued) Variance NOTES TO THE between FINANCIAL 9.12 Explanatory statement (continued) Variance actual between results STATEMENTS Statement of Comprehensive Estimate Actual Actual estimate for 2018 for the year ended 30 June 2018 Income Variance 2018 2018 2017 and actual and 2017 (continued) (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000) Income from State Government Service appropriation 20,740 25,159 19,603 4,419 5,556 Services received free of charge 2,000 839 1,166 (1,161) (327) Royalties for Regions Fund 16,768 14,428 12,605 (2,340) 1,823 Total income from State Government 39,508 40,426 33,374 918 7,052 SURPLUS/(DEFICIT) FOR THE PERIOD 16,002 21,899 (536) 5,897 22,435

OTHER COMPREHENSIVE INCOME Items not reclassified subsequently to profit or loss Changes in asset revaluation surplus – 374 (6,805) 374 7,179 Gains/(losses) recognised directly in equity – – – – – Total other comprehensive income – 374 (6,805) 374 7,179 TOTAL COMPREHENSIVE INCOME FOR THE PERIOD 16,002 22,273 (7,341) 6,271 29,614

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9 Other disclosures (continued) Variance NOTES TO THE between 9.12 Explanatory statement (continued) Variance actual FINANCIAL between results Statement of Financial Estimate Actual Actual estimate for 2018 STATEMENTS Position Variance 2018 2018 2017 and actual and 2017 for the year ended 30 June 2018 (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000) (continued) ASSETS Current assets Cash and cash equivalents 1 31,406 56,711 49,271 25,305 7,440 Restricted cash and cash equivalents 36 1,039 235 1,003 804 Inventories 2 15,795 3,659 12,565 (12,136) (8,906) Receivables 9,122 5,167 9,257 (3,955) (4,090) Other current assets 2,022 2,431 3,508 409 (1,077) Non-current assets classified as held for sale – – 8,000 – (8,000) Total current assets 58,381 69,007 82,836 10,626 (13,829)

Non-current assets Restricted cash and cash equivalents – 1,283 635 1,283 648 Amounts receivable for services 38,593 38,593 31,682 – 6,911 Property, plant and equipment 384,175 372,821 358,699 (11,354) 14,122 Intangible assets A 15,683 13,015 3,137 (2,668) 9,878 Other non-current assets 844 – – (844) – Total non-current assets 439,295 425,712 394,153 (13,583) 31,559 TOTAL ASSETS 497,676 494,719 476,989 (2,957) 17,730

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9 Other disclosures (continued) Variance NOTES TO THE between 9.12 Explanatory statement (continued) Variance actual FINANCIAL between results Statement of Financial Estimate Actual Actual estimate for 2018 STATEMENTS Position Variance 2018 2018 2017 and actual and 2017 for the year ended 30 June 2018 (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000) (continued) LIABILITIES Current liabilities Payables 12,297 17,436 10,083 5,139 7,353 Borrowings 2,589 2,440 9,390 (149) (6,950) Employee related provisions 28,010 25,839 28,093 (2,171) (2,254) Other current liabilities – 24 3,589 24 (3,565) Total current liabilities 42,896 45,739 51,155 2,843 (5,416)

Non-current liabilities Borrowings 40,607 36,556 38,996 (4,051) (2,440) Employee related provisions 10,008 10,179 10,008 171 171 Other non-current liabilties 1,433 – – (1,433) – Total non-current liabilities 52,048 46,735 49,004 (5,313) (2,269) TOTAL LIABILITIES 94,944 92,474 100,159 (2,470) (7,685) NET ASSETS 402,732 402,245 376,830 (487) 25,415

EQUITY Contributed equity 361,039 353,244 350,102 (7,795) 3,142 Reserves 43,805 44,180 43,806 375 374 Accumulated surplus (2,112) 4,821 (17,078) 6,933 21,899 TOTAL EQUITY 402,732 402,245 376,830 (487) 25,415

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9 Other disclosures (continued) Variance NOTES TO THE between FINANCIAL 9.12 Explanatory statement (continued) Variance actual between results STATEMENTS Estimate Actual Actual estimate for 2018 for the year ended 30 June 2018 Statement of Cash Flows Variance 2018 2018 2017 and actual and 2017 (continued) (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000) Receipts Service appropriation 13,829 18,248 13,182 4,419 5,066 Capital appropriation 3,062 – – (3,062) – Royalties for Regions Fund 16,768 15,990 14,050 (778) 1,940 Net cash provided by State Government 33,659 34,238 27,232 579 7,006

Utilised as follows: CASH FLOWS FROM OPERATING ACTIVITIES Payments Employee benefits B (205,011) (207,434) (196,399) (2,423) (11,035) Supplies and services (92,515) (97,884) (104,016) (5,369) 6,132 Finance costs (7,205) (1,887) (2,213) 5,318 326 Accommodation (8,731) (10,734) (7,093) (2,003) (3,641) Grants and subsidies (46,238) (41,573) (49,093) 4,665 7,520 GST payments on purchases 3 (8,794) (18,835) (20,274) (10,041) 1,439 Other payments (6,611) (7,362) (5,096) (751) (2,266)

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9 Other disclosures (continued) Variance NOTES TO THE between FINANCIAL 9.12 Explanatory statement (continued) Variance actual between results STATEMENTS Estimate Actual Actual estimate for 2018 for the year ended 30 June 2018 Statement of Cash Flows Variance 2018 2018 2017 and actual and 2017 (continued) (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000) Receipts User fees and charges 360,640 367,825 352,710 7,185 15,115 Commonwealth grants and contributions 5,891 7,549 1,766 1,658 5,783 Interest received – 200 109 200 91 GST receipts on sales 1,250 2,330 1,401 1,080 929 GST receipts from taxation authority 4 7,544 16,913 18,936 9,369 (2,023) Other receipts 3,524 3,823 2,705 299 1,118 Net cash used in operating activities 3,744 12,931 (6,557) 9,187 19,488

CASH FLOWS FROM INVESTING ACTIVITIES Payments Purchase of non-current assets 5 (57,759) (37,398) (41,504) 20,361 4,106 Receipts Proceeds from the sale of non-current assets C 7,900 8,511 383 611 8,128 Net cash used in investing activities (49,859) (28,887) (41,121) 20,972 12,234

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9 Other disclosures (continued) Variance NOTES TO THE between FINANCIAL 9.12 Explanatory statement (continued) Variance actual between results STATEMENTS Estimate Actual Actual estimate for 2018 for the year ended 30 June 2018 Statement of Cash Flows Variance 2018 2018 2017 and actual and 2017 (continued) (Controlled operations) Note ($’000) ($’000) ($’000) ($’000) ($’000) CASH FLOWS FROM FINANCING ACTIVITIES Payments Repayment of borrowings 6 (18,440) (9,390) (2,440) 9,050 (6,950) Receipts Proceeds from borrowings 7 13,250 – – (13,250) – Net cash used in financing activities (5,190) (9,390) (2,440) (4,200) (6,950)

Net (decrease)/increase in cash and cash equivalents (17,646) 8,892 (22,886) 26,538 31,778 Cash and cash equivalents at the beginning of the period 49,088 50,141 73,027 1,053 (22,886) CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD 31,442 59,033 50,141 27,591 8,892

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NOTES TO THE 9 Other disclosures (continued) FINANCIAL 9.12 Explanatory statement (continued) Major Estimate and Actual (2018) Variance Narratives for Controlled Operations STATEMENTS 1) Higher than estimated cash and cash equivalents are primarily the result of significant changes to appliance for the year ended 30 June 2018 build programs, causing anticipated expenditure to be delayed to future years. (continued) 2) Lower than estimated inventories are primarily the result of significant changes to appliance build programs, causing the purchase of new inventories to be delayed to future years. 3) GST payments on purchases exceeded the estimates due to an increase in purchasing activities with GST registered vendors. 4) GST receipts from taxation authority exceeded estimates mainly due to the increased GST payments on purchases as per 3. 5) Lower than estimated purchases of non-current assets are due to significant changes to appliance build programs causing anticipated expenditure to be delayed to future years. 6) Lower than estimated repayment of borrowings was due to the fact that the Department did not require the anticipated drawdown of short term borrowings to meet working capital requirements. 7) Short term borrowings were not required during the year due to significantly lower than anticipated expenditure on non-current assets as noted in 5.

Major Actual (2018) and Comparative (2017) Variance Narratives for Controlled Operations A) The increase in intangible assets is due to the continued development of the Computer Aided Dispatch (CAD) incident management platform. The platform became operational as of August 2018. B) The increase in employee benefit payments is largely attributable to the Voluntary Termination and Severance Scheme in 2017-18 resulting in a one-off increase in employee benefits expenditure as the result of lump sum termination payments. C) The significant increase in proceeds from the sale of non-current assets is due to the settlement of the sale of 480 Hay Street (formally FESA House) for $8,000,000.

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CERTIFICATION OF KEY PERFORMANCE INDICATORS

I hereby certify that the key performance indicators are based on proper records, are relevant and appropriate for assisting users to assess the Department of Fire and Emergency Services’ performance, and fairly represent the performance of the Department of Fire and Emergency Services for the reporting period ended 30 June 2018.

D Klemm AFSM Accountable Authority

21 August 2018

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Number of accidental WHY is this a key indicator of WHAT does this indicator show? 80 residential fires per our performance? This indicator shows that our A reduction in the number of 2017-18 result continues to be 100,000 households 70 accidental fires in the home is an positively below our target of less indicator of the effectiveness of than 65 accidental residential fires 56.2 our fire safety education programs. per 100,000 households and is 60 TARGET ACHIEVED Programs such as ‘Working Smoke more than 10 percent lower than Alarms’ and ‘Fire Safety in Your last year. 50 Home’ aim to increase awareness of fire risk and promote appropriate This result is positive as the community behaviour for reducing number of households in WA has 40 the impact of accidental residential increased over the last five years by almost 14%. fires. A lower than target result is 30 desired.

20 HOW is this indicator derived? This indicator is derived by dividing the number of reported accidental 10 fires in homes by the number of households in WA. 0 1314 1415 1516 1617 1718 Retrospective data entry will affect results in any given year. Past Fires per 100,000 households (2017-18)  Target = Less than 65 data has been updated to reflect completed incident reports as at 30 June 2018.

The target for this indicator was lowered in 2016-17 due to our consistently meeting the target in previous years.

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Proportion of dangerous WHY is this a key indicator of WHAT does this indicator show? 100% goods sites with current our performance? This year’s result of 99.12% of FES Fire and Emergency DFES has a legislated role for ERGs being current is higher than Services Emergency preparedness and response our target of 90%. Response Guides to dangerous goods related 80% emergencies. This indicator measures the number of Fire and 99.12% Emergency Services Emergency Response Guides (FES ERG) 60% TARGET ACHIEVED reviewed by DFES. The currency of the guides is important for ensuring the safety of emergency 40% responders and reduces the impact of incidents on the community. A higher than target performance is desired. 20%

HOW is this indicator derived? This indicator is derived by determining the number of FES 0% 1617 1718 ERGs reviewed every three years

as a percentage of the total % reviewed (2017-18) number of FES ERGs registered.  Target = 90%

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Proportion of building plans WHY is this a key indicator of HOW is this indicator derived? 100% assessed within specified our performance? This indicator is derived by timeframe This indicator measures DFES’ dividing the number of building ability to provide building plan plans deemed to meet the safety assessment services within a requirements as set out in the 80% 97.58% specified timeframe for new NCCR being assessed within 15 TARGET ACHIEVED commercial, non-commercial and days of being received, by the total industrial building plans. It also number of building plans received reflects DFES’ success in keeping and deemed to meet the NCCR 60% pace with the volume of new safety requirements. building developments. Maintaining an appropriate response time in WHAT does this indicator show? 40% the assessment of plans is a key This year’s result of 97.58% of target as the adherence of building building plans assessed is within construction requirements to fire the specified timeframe, and safety codes provides greater exceeds our target of 95%. 20% safety for the community and emergency responders if there is Building plan assessments are an incident on site. categorised by complexity. During 2017-18, 59% of building plan 0% This indicator only relates to assessments were complex with 1617 1718 building plans that are deemed 41% categorised as standard. to meet the safety requirements % plans assessed within timeframe (2017-18) as set out in the National  Target = 95% Construction Code Regulations (NCCR) when submitted.

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Average cost per household WHY is this a key indicator of HOW is this indicator derived? $10 to deliver emergency hazard our performance? This indicator is derived as a cost information and awareness Informed and aware communities of service divided by the number of programs are better able to manage their households in WA. risks, reducing the impact of $8 natural hazards and the occurrence WHAT does this indicator show? $8.17 of preventable emergencies. It is Expenditure on this indicator is important to provide this service to lower than our target of $8.66 per TARGET ACHIEVED $6 the community in a cost effective household, demonstrating the manner so that financial resources efficiency of the Department. provided for the State’s emergency services also remain available for $4 other essential service programs.

$2

$0 1617 1718

Actual cost per household $ (2017-18)  Target cost per household $

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Number of community WHY is this a key indicator of HOW is this indicator derived? 300 based Bushfire Ready our performance? This indicator is derived as a count Groups established With the growth and increased of reported active community development on the rural based Bushfire Ready Groups. 250 urban fringe there is a need for 270 local community members to WHAT does this indicator show? understand their risk and accept a TARGET ACHIEVED The result of 270 Bushfire Ready 200 shared responsibility for managing groups for 2017-18 exceeds our potential impacts. target of 257. As a consequence, it is expected that residents in these Research has confirmed that 150 community based Bushfire Ready communities will be better able Groups support an increase in the to respond and suffer less impact should a bushfire occur. level of preparedness and planning 100 to manage bushfire related risk. DFES’ role is to support community groups to work together to prepare 50 for and respond to bushfire by providing assistance with bushfire planning and preparation measures. 0 Trained Bushfire Ready facilitators 1617 1718 provide information and assist residents to develop the skills Number of groups (2017-18) to understand their risk and put  Target = 257 strategies in place to prepare for and respond effectively to bushfire.

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Average cost per building WHY is this a key indicator of HOW is this indicator derived? $350 plan assessed our performance? This indicator is derived by dividing Plans for specific building types the number of building plans are submitted for assessment as assessed by the cost to review all $300 $255.78 part of the WA planning process. building plans submitted.

TARGET ACHIEVED DFES provides advice to developers In 2016-17 we reported an $250 to ensure building plans for new average cost of $237.75 per commercial, non commercial and building plan assessed. As part industrial buildings in WA are fire of our continuous improvement $200 safe. By reviewing building plans, to demonstrate how DFES DFES contributes to reducing the effectively, efficiently, ethically and $150 risk of harm to the community and economically uses resources, all firefighters responding to structural indicators were reviewed during 2017-18. For this indicator, instead fires. $100 of using an average salary cost, Safety standards are set in the actual salary costs were used. National Construction Code As a result, in 2016-17 DFES spent $50 Regulations and adherence an average of $232.66 per building to the codes provides a safer plan assessed. This is $5.09 less environment for the public and per plan than reported. $0 1617 1718 responding emergency personnel

in the event of an incident. This WHAT does this indicator show? Actual cost per plan $ (2017-18) indicator demonstrates how much Expenditure on this indicator is  Target cost per plan $ it costs DFES to assess building $49.22 lower than our target of $305 plans for developers. per plan, though higher than the cost of plan assessments in 2016- 17. This is largely due to salary cost increases each year as a result of enterprise bargaining agreements. This indicator demonstrates the efficiency of the Department.

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Average cost per engaged HOW is this indicator derived? This support is documented $200,000 local government to This indicator is derived as the cost through Bushfire Risk Management support bushfire risk to deliver the service divided by Planning Program Grant Agreements signed by both DFES management programs the number of LGs supported to develop bushfire risk management and the participating LGs. programs in WA. In 2016-17 As a result of applying the amended $150,000 $125,663.74 we reported an average cost of $24,972.53 per engaged LG. counting rules it was identified TARGET NOT that in 2016-17 that support was During 2017-18 DFES reviewed provided by BRMP to 16 LGs at ACHIEVED all indicators to more specifically a cost of $2,643,099 (this differs account for how we spend public significantly from our 2016-17 $100,000 monies and provide greater calculation of 137 LGs at a cost transparency. of $3,421,236 – which included all WHY is this a key indicator of For this indicator, we found the LGs and OBRM cost). This means our performance? that in 2016-17, using the revised original counting rules did not $50,000 Informed and aware communities accurately reflect the cost of calculation DFES spent an average are better able to manage their supporting LGs in developing of $165,194 per engaged LG. risks and reduce the impact of bushfire risk management programs This is $140,221 more per engaged natural hazards and preventable and was therefore amended. LG than previously reported. emergencies. This indicator Prior to amendment, the total cost $0 1617 1718 demonstrates how much it of OBRM and BRMP was used in WHAT does this indicator show? costs DFES to engage with local calculating the cost of service. It When the target cost for this Actual cost per engaged LG $ (2017-18) governments (LGs) to support and was however identified during our indicator was set as part of the  Target cost oer engaged LG $ guide bushfire risk planning at the review of the indicator that DFES 2017-18 budget process, the local level. was unable to provide sufficient original counting rules were applied. documentary evidence of OBRM’s However as a consequence of planning support to LGs. For this applying the amended counting reason, OBRM costs have been rules, our result of $125,663.74 for removed from the calculation. this indicator significantly exceeds The BRMP provides bushfire risk our target of $26,870 per local management planning support to government supported. specific LGs each year.

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Number of operational WHY is this a key indicator of HOW is this indicator derived? 25 personnel endorsed as our performance? This indicator is derived as a count level 3 incident managers DFES has a legislated role for of operational personnel endorsed preparedness and response to as Level 3 Incident Managers multiple hazards. Level 3 incidents across three types of hazard 20 23 are either extremely large or i.e. bushfire, urban fire and extremely complex, or both. The natural hazards1. TARGET ACHIEVED role of Incident Manager for Level 3 Incidents requires certain skills WHAT does this indicator show? 15 that are only achieved through Our result shows that our target of the accumulation of specific 22 Level 3 incident managers has experience and training. It is been marginally exceeded. 10 essential that DFES maintains a sufficient number of qualified staff capable of managing Level 3 Incidents. 5

0 15/16 16/17 17/18

Number L3 incident managers (2017-18)  Target = 22

1 A natural hazard is broadly defined as a weather event causing damage

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Proportion of DFES WHY is this a key indicator of HOW is this indicator derived? 50% operational volunteers our performance? This indicator is derived by dividing actively engaged in Building a sustainable and the number of DFES operational 45% Pathways training capable volunteer workforce is volunteers who complete a a strategic objective for DFES. Pathways training course during 40% The implementation of Pathways the year by the total number of 46.62% training is designed to build the DFES operational volunteers. 35% capability of volunteers in meeting TARGET ACHIEVED 30% their roles and responsibilities. WHAT does this indicator show? Pathways training also provides Our result shows that we exceeded 25% opportunity for volunteers to our target of 43.5% of DFES progress through the operational operational volunteers actively 20% ranks supporting the recognition, engaged in Pathways training. recruitment and retention of 15% volunteers into the future. 10%

5%

0% 16/17 17/18

% Operational volunteers engaged in Pathways training (2017-18)  Target = 43.5%

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Proportion of assets within WHY is this a key indicator of As part of our continuous 100% specified replacement our performance? improvement to demonstrate period parameters DFES has a legislated role for how DFES effectively, efficiently, preparedness and response to ethically and economically uses multiple hazards. The replacement resources, during 2017-18 all 80% 85% of our response fleet and facilities indicators were reviewed. within specified replacement TARGET ACHIEVED During the review it was found periods (regardless of the funding that leased facilities, and therefore method) is important for ensuring 60% not owned or managed by DFES, they remain fit for purpose and had been included in the 2016-17 maintenance costs are minimised. indicator calculation. The inclusion This indicator supports DFES’ of these facilities did not impact 40% capacity to manage important our overall result. replacement schedules, thereby ensuring an effective and WHAT does this indicator show? contemporary frontline service Our result shows that the overall 20% capability. proportion of DFES owned/ managed or administered assets HOW is this indicator derived? within replacement period 0% This indicator is made up of parameters meets our target 1617 1718 three components. They are the of 85%. number of DFES owned / managed % Inside replacement period (2017-18)  Target = 85% facilities, DFES owned appliances and DFES administered assets to the BFS and SES (procured through the Local Government Grant Scheme) within replacement period parameters by the total number of assets.

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Proportion of first round WHY is this a key indicator of our HOW is this indicator derived? 80% Local Government Grant performance? This indicator is derived by dividing The provision of capital and the number of first round LGGS Scheme offers accepted 70% operating grants to local offers accepted by the total governments for their BFS number of offers made. 71.71% brigades and SES units is managed 60% through the Local Government WHAT does this indicator show? TARGET ACHIEVED Grant Scheme (LGGS). This indicator shows that our 50% This indicator measures the result exceeds our target of 70% of first round LGGS offers accepted appropriateness of DFES’ funding 40% and allocation processes. Capital by local governments and is an grants are offered in line with fleet improvement on last year’s result. replacement programs. Operating 30% grants are based on the average of the expenses over the last two 20% years and the current allocation. Both these grants are increased at 10% the current cost escalation factor to ensure the grants maintain baseline cost requirements. 0% 1516 1617 1718

% First round Local Government Grant Scheme offers accepted (2017-18)  Target = 70%

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Average cost per participant WHY is this a key indicator of For this indicator, the average $4,500 to deliver operational our performance? salary of DFES trainers was used. This has been amended pathways training DFES’ ability to effectively and $4,000 efficiently respond to emergencies to the actual salary cost of each requires an operational workforce trainer. As a result, using the $3,500 $1,102.32 that is trained to respond to amended counting rules, DFES incidents. This indicator includes spent $1,544.63 in 2016-17 per TARGET ACHIEVED costs for operational Pathways participant to deliver operational $3,000 training for all DFES staff and pathways training. volunteer brigades, groups and units. $2,500 WHAT does this indicator show? HOW is this indicator derived? The reduction in the target for this $2,000 This indicator is derived as a indicator is due to the 2016‑17 cost of service divided by the target being set before new $1,500 number of participants completing counting rules were set. operational Pathways courses. $,1000 This indicator is affected by the This indicator is made up of number of participants in each three components. They are the course and the number of courses $500 cost of running the Academy, delivered to volunteers across the the expenses incurred to provide State. An increase in participants $0 training resources to participants 1617 1718 results in a decrease in the cost per and the salary cost of DFES trainers either not part of the participant. In 2017-18 we had more Actual cost per participant $ (2017-18)  Target cost per participant $ Academy staff or an Academy than 2,600 more course participants trainer providing pathways training than we had in 2016-17. either off-site or after hours. This indicator shows that our As part of our continuous expenditure to deliver operational improvement to demonstrate Pathways training was lower than how DFES effectively, efficiently, our target of $1,733 per participant, ethically and economically uses demonstrating the efficiency of the resources, during 2017-18 all Department. indicators were reviewed.

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Proportion of responses to WHY is this a key indicator of HOW is this indicator derived? 100% ESL 1 and ESL 2 incidents our performance? This indicator is derived by within specified timeframes This indicator measures the determining the percentage of percentage of incident responses incidents where a career Fire and in Emergency Service Levy (ESL) 1 Rescue appliance arrives on scene 80% 90.84% and 2 areas which meet the target at an incident within 12 minutes TARGET ACHIEVED timeframe of 12 minutes for career or a volunteer appliance within 14 Fire and Rescue and 14 minutes minutes in ESL 1 and ESL 2 areas for DFES volunteer crews. Timely of the 000 call being received by 60% response is critical in minimising DFES’ Communication Centre. the impact of incidents on the community. Retrospective data entry affects results for any given year. Past 40% Factors impacting response times data has been updated to reflect include adverse weather or traffic completed reports as at 30 June conditions, shorter or longer travel 2018. times if crews are not on station 20% when notified or crews being sent WHAT does this indicator result to incidents outside their area. show? A higher than target performance The result of 90.84% exceeds our 0% result is desired. target of 90% and is better than our 1617 1718 result in 2016-17 (90.81%). % Within timeframes (2017-18)  Target = 90%

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Proportion of DFES WHY is this a key indicator of HOW is this indicator derived? 100% volunteer turnouts within our performance? This indicator is derived by target timeframes This indicator measures the determining the percentage of percentage of volunteer crew incidents where the volunteer turnouts which meet target crew turned out within 14 minutes 80% 92.27% timeframes. It assists in of receiving notification from TARGET ACHIEVED determining where there are DFES’ Communication Centre. challenges in mustering a full DFES has limited, or no control volunteer crew for incident over response to incidents where 60% response. support is provided to other agencies (such as fire response in For volunteer services, the turnout local government areas and rescue time is the most useful indicator 40% incidents). Therefore, this indicator for measuring service delivery. excludes incidents attended by Response time is not used as Bush Fire Brigades and Volunteer an indicator of performance as Marine and Rescue Services units. they can be affected by extended 20% distances to incidents in regional WHAT does this indicator show? areas. A higher than target performance is desired. This indicator shows that DFES volunteer crews turnout to 0% 1617 1718 Retrospective data entry will 92.27% of incidents in less than

affect results in any given year. 14 minutes. This is faster than % Volunteer turnouts within timeframes Past data has been updated to their target of 90%. (2017-18) reflect completed reports as at  Target = 90% 30 June 2018.

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Proportion of structure fires WHY is this a key indicator of HOW is this indicator derived? 80% confined to the room or our performance? This indicator is derived by This indicator measures the dividing the number of reported object of origin 70% effectiveness of community fire structure fires either confined to safety education programs and the container or room of origin 75.76% fire service response. Higher by the total number of reported 60% TARGET ACHIEVED levels of confinement will reduce structure fires in which damage an incident’s impact on the was recorded. 50% community. Retrospective data entry affects Our objective is to raise community results for any given year. Past 40% awareness on how to safely deal data has been updated to reflect with small fires, where possible, completed reports as at 30 June 30% and the importance of an early call 2018. to emergency services. WHAT does this indicator show? 20% This indicator is linked to our indicators that measure the DFES continues to meet the target reduction of accidental residential of 72% of structure fires confined 10% fires and fire service response times. to the room or object of origin.

0% There are a range of factors 1314 1415 1516 1617 1718 which affect how quickly a fire will spread. These include the types % Total confinement (2017-18) of household furnishings, building  Target = 72% standards and materials and the time taken to alert emergency services. Prompt detection and early notification are likely to increase the percentage of fires confined. A higher than target performance is desired for this indicator

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Proportion of Level 2 and WHY is this a key indicator of HOW is this indicator derived? 100% Level 3 bushfires where our performance? This indicator is derived by dividing no structures are lost or The protection of property, the number of Level 2 and Level significantly damaged including critical infrastructure, 3 bushfires where no structures is a key objective of suppression are lost or significantly damaged 80% strategies during significant by the total number of Level 2 and 96.08% bushfires. The protection of Level 3 bushfires. TARGET ACHIEVED infrastructure, wherever possible, is important for reducing the WHAT does this indicator show? 60% financial and emotional impact of Whilst marginally lower than our emergencies on WA communities. 2016-17 result, DFES has achieved A higher than target result is a higher result than our target of 40% desired for this indicator. 95%.

20%

0% 1617 1718

% L2 and L3 bushfires where no structures are lost or significantly damaged (2017-18)  Target = 95%

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Average cost to deliver WHY is this a key indicator of HOW is this indicator derived? $200 frontline services per our performance? This indicator is derived as a Western Australian DFES’ ability to provide a frontline cost of service divided by WA’s $180 response to WA communities population as advised by the minimises the impact of fire and Department of Treasury. $160 $102.26 other emergencies. WHAT does this indicator show? $140 TARGET NOT This indicator defines the cost Our result of $102.26 per Western ACHIEVED to provide all frontline services, $120 including volunteer brigades, Australian to deliver frontline services is marginally higher than groups and units. $100 our target of $102.18.

$80

$60

$40

$20

$0 1617 1718

Actual cost per Western Australian $ (2017-18)  Target cost per Western Australian $

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INDEPENDENT AUDIT OPINION

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GOVERNANCE

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Commitment to good governance DFES’ Corporate Leadership are committed to a high level of corporate governance and fostering a culture that values ethical behaviour, integrity, accountability, performance and compliance.

Our Governance Framework sets out standards of accountability and transparency that stakeholders and the community expect of DFES. It outlines the principles and mechanisms we use for effective governance.

Based on best practice public sector governance, DFES’ governance performance is evaluated against the Public Sector Commission’s Good Governance Guide which includes nine key governance principles. This section describes how DFES applies these principles.

Governance Principle Where It Is Applied 1. Government and public sector relationships • DFES’ relationship with government is clear and supports the efficient • Chief Executive Officer’s performance agreement implementation of government policies and strategies. • State Emergency Management Policy • Consolidated Account Expenditure Estimates and Budget • Ministerial communication agreement 2. Management and oversight • Management and oversight is accountable and has clearly defined • Governance Framework responsibilities, including meaningful strategic plans and work • Committee Charters and Guidelines programs. • Job descriptions • Strategic and Business unit plans • Program maps • Delegations of Authority • Outcome based management framework and key performance indicators (KPI) • KPI Manual • Project Proposal and Business Cases Policy

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Governance Principle Where It Is Applied 3. Organisational structure • DFES’ organisational structure meets operational needs and strategic • Organisation chart objectives. • Workforce planning • Position Management and Organisational Structure Policy • Professional Pathways Policy • Human Resources Approvals Matrix 4. Operations • Organisational plans within DFES are designed to achieve operational • Strategic and Business unit plans goals and demonstrate the effective and efficient use of resources. • Strategic Asset Management Plan • Evaluation Framework • Outcome based management framework and KPIs 5. Ethics and integrity • Ethics and integrity are embedded within DFES’ values, culture and • Our values and behaviours operations. • Code of Conduct • Conduct and Discipline Policy • Integrity Framework • Equal Opportunity Policy • Fraud and Corruption Plan • Conflict of Interest Policy • Gifts, Benefits and Hospitality Policy • Public Interest Disclosure • Secondary Employment Policy • Criminal History Check Policy • Purchasing Card Policy and User Guide • Anti-Bullying Policy

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Governance Principle Where It Is Applied 6. People • Leadership in people management that contributes to individual and • Recruitment and Selection Procedures organisational achievements. • Performance Management Policy • My Path – learning and development • Western Australian Emergency Services Volunteer Sustainability Strategy 2016-2024 • Rewards and Recognition Handbook • Flexible Working Arrangements Policy • Lateral Entry Policy • Practical Placements Policy • Equal Opportunity Policy • Pregnant Employees and Volunteers • Disability Access Inclusion Plan • Health and Safety Policy and management systems 7. Finance • Sound financial management, integrity and accountability. • Consolidated Account Expenditure Estimates and Budget • Procurement Policy and Framework including Procurement Delegations and Exemption Approval Delegations • Government Common Use Arrangements • Financial Management Manual • Strategic Asset Management Plan • Delegations of Authority • Audit and assurance framework

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Governance Principle Where It Is Applied 8. Communication • Communicate with all parties in a way that is accessible, open and • Disability Access and Inclusion Plan responsive. • Public Information Operational Plan • Advertising and Promotion Policy • Media Policy • Records Management Policy • Freedom of Information Policy • Release of Operational Information Policy • ICT Security Framework • Public Interest Disclosure Policy • Grievance Policy • Customer Feedback Policy 9. Risk Management • Identification and management of risks. • Enterprise Risk Management Framework • Risk Appetite Statement • Enterprise Risk Management Policy • Health and Safety Policy • Audit and Risk Management Committee and Committee Charter • Business Resilience Framework • Safety Management System

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AUDIT AND RISK MANAGEMENT COMMITTEE

Auditing systems and processes Key elements of fulfilling this primary objective It also assists DFES in accomplishing its DFES’ structural changes following the include: objectives by bringing a systematic, disciplined Machinery of Government reform of the public • providing independent and objective review approach to evaluate and improve the sector, provided an opportunity to review the and monitoring of financial reporting process, effectiveness of our risk management, control, duties, responsibilities and structure of the Audit integrity of financial statements, the system and governance processes. and Risk Management Committee (ARMC). of internal control, performance of the internal Audits and reviews are performed in accordance audit process, risk management framework with an endorsed rolling Strategic Internal Audit As a consequence, the ARMC Charter was and systems, process for monitoring and Plan and approved Annual Internal Audit Plan. updated in April 2018 to align with leading managing compliance with legislation, Key reviews and audits undertaken during the practice. internal policies and industry standards year include: • providing direction and oversight of internal The ARMC met four times this year and has a • ComCen Operational Notification Protocols minimum of five standing members and four audit activity • PPC and Uniform Management technical advisors. It has been chaired since • facilitating and maintaining an open avenue • Compliance with SSC Partial Exemption and April 2018 by Mr Malcolm Cronstedt AFSM, of communication between the ARMC, the TI 820 Deputy Commissioner Strategy and Emergency Commissioner and CLT, Senior Management, • Management of Relief and Transfer Management. External Audit and Internal Audit. Arrangements The Committee’s role is to support and assist Internal Audit • Operational Information Release Policy the Commissioner and CLT in exercising due DFES’ Internal Audit function is performed Processes and Compliance care, diligence and skill in fulfilling its corporate through an out-sourced arrangement. • IMT Led Resource Planning and Needs oversight and monitoring responsibilities. Escalation The function provides the ARMC and CLT with • Purchase to Pay, P-Cards, Travel and an independent appraisal of the operation and Incidental Expenses effectiveness of systems and controls. • WebEOC Application Review

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• Legislative Compliance: Contaminated Sites Act 2003 • ICT Resilience • KPI Calculation Assessment.

Recommendations from these internal audits are managed and monitored through DFES’ integrated planning and reporting system. The implementation and status of these recommendations are reported quarterly to the ARMC.

A performance review of the ARMC is conducted annually to confirm the Committee is meeting the responsibilities of its Charter to a high standard.

Improvements implemented during the year include: • continued research and review of Office of the Auditor General reports with summaries provided to the Committee • streamlining the reports with the use of effective templates to ensure focused information is transparent • conceptualising a four lines of defence model • updating the agenda and work plan to ensure that effective oversight and performance can be achieved.

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OTHER GOVERNANCE COMMITTEES

Program Management Committee (PMC) Equity and Diversity Committee The Committee: The PMC supports and guides all projects from The role of the Equity and Diversity Committee • reviews information related to health and planning through to execution and closure. In is to: safety performance including incidents, addition, it provides the Commissioner with the • identify the barriers to achieving a better hazards, injury and illness data and hazard information to: equity and diversity balance trends • validate ongoing alignment between • provide input into the implementation of • reviews details of proposed changes to the initiatives and strategic objectives initiatives within the Equal Employment place of work or plant which could affect the • ensure projects deliver improved business Opportunity Management Plan health and safety of staff and volunteers outcomes through transition and change • consult with, and provide feedback on, issues • reviews safety risk management activities management strategies specific to each Command occurring including scheduled workplace • ensure benefits and outcomes are clearly • formulate strategies to overcome the barriers inspections and emergency procedures defined and meet the project’s agreed scope, and implement those strategies, review and • contributes the resolution of safety issues time, cost and quality set realistic targets given the nature of the referred to the committee by staff or • allocate appropriate skills and capacity to emergency services industry management representatives using internal initiatives • champion equity and diversity programs protocols for safety issue resolution • coordinate the transition of deliverables into across DFES. • provides recommendations for strategies to operations. improve safety management systems Health and Safety Governance Committee • considers matters referred by health and Through the PMC Governance process, three safety representatives high risk and/or high dollar value projects The role of Health and Safety Governance • considers safety documentation including commenced and 18 projects closed this year Committee is to provide a consultative forum between employees and management to achieve any proposed changes to policies, practices a safe workplace by promoting and facilitating or procedures which may affect the health cooperation to manage hazards and risks. and safety of staff or volunteers.

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MANAGING RISK

Governance Framework Risk Management Complaints Handling DFES’ Corporate Governance Framework DFES reviewed its Enterprise Risk Management DFES uses complaints and other stakeholder (‘Framework’) is based on best practice public Framework during 2017-18 aligning it to the feedback as valuable input into our sector governance and identifies the practices recently updated international standard ISO continuous improvement process. We that drive and support good governance. 31000:2018. Developed in consultation with key willingly acknowledge that people have a right personnel the Framework is designed to be easy to complain about services or aspects of In the context of the WA public sector, to use but remain robust. operations. Complaints provide an opportunity governance is defined as encompassing to improve services and operations, and can the systems and structures by which an In articulating a Risk Appetite statement and alert us to potential problems. organisation is directed, controlled and operated tolerability levels, the Framework supports staff and the mechanisms by which it and the people with effective decision making. The Contact Us link on the website has a within it are held to account. The Framework Customer Feedback option to encourage DFES has a structured risk management enables and supports DFES’ vision, values, community feedback. Our Customer Feedback process that meets the requirements of strategic and operational objectives. policy and associated procedures are regularly the Treasurer’s Instruction 825, the Public reviewed and are available for all staff and The Framework as underpinned by the Sector Commissioner’s Circular 2015-3 Risk volunteers to access. nine foundation principles of public sector Management and Business Planning and is governance and defined by the Western aligned with the international standard ISO All feedback received through the Customer Australian Public Service Commission is 31000:2018 Risk Management – Principles Feedback mechanism is logged into our presently under review to better align with and Guidelines. electronic records management system for organisational changes and improve decision prompt action. making at all levels. DFES’ risks are regularly reviewed, updated and reported to the CLT and the ARMC.

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Feedback received Cyber security The high level initiatives of this programme are: DFES received a total of 103 feedback items in DFES has maintained the momentum forecast • document a set of Governance artefacts that 2017-18. These were made up of: in last year’s annual report, through the proactive clearly define cyber security requirements and • 60 complaints conduct of independent security reviews and responsibilities across the agency • 18 compliments technical testing. Work is underway on security • Implement technical improvements to the • 25 suggestions for improvement. governance to increase DFES’ resilience to DFES IT environment information and cyber security threats. • Define processes and procedures to ensure Of the 60 complaints received, 59 have been cyber security requirements are embedded Considerable focus has been on the dealt with by the relevant DFES officer. One into work practices. complaint is still being addressed. For the other empowerment of staff through a program 59, all complainants have been contacted and of security awareness briefings. Following Progress of these initiatives is being tracked provided an explanation or given the opportunity advice from the West Australian Office of the and reported on regularly to the Audit and Risk to discuss the matter. All complainants were Government Chief Information Officer, DFES Committee to ensure that cyber risk is managed given the option to take the matter further if they is aligning to the ISO 27001 standard for the within DFES’ accepted risk appetite. were not satisfied with the response. No further management of information security. follow up is required for any of these items. Code of conduct During 2017- 18, progress was made towards The Public Sector Management Act 1994 The issues were wide ranging in nature and full implementation of the standard, specifically provides the principles of conduct for all public included concerns relating to issues such as across the following domains: sector bodies and employees. These include Emergency Service Levy fees, fire permits, • information security policies compliance with any legislation governing smoke from fires and prescribed burns. • organisation of information security conduct, Public Sector Commissioner’s • human resources security The 18 compliments received were relayed Instructions, Public Sector Standards and Code • asset management to the personnel involved, and included of Ethics. commendation for services provided at • access control The Code of Conduct prescribes mandatory emergency services incidents. • IT operations security • system acquisition, development and standards of behaviour, conduct and integrity We were able to make improvements during the maintenance. expected of all personnel. The Code places an year, informed by some of the 25 suggestions obligation on all personnel to take responsibility received. These included suggestions in relation To manage this implementation, DFES has for their own behaviours, conduct and integrity, to accounts handling, website functionality and engaged a Cyber Security Manager who is to work cooperatively and the community, and volunteer retention. working to build on these improvements to establish a safe and healthy work place and through a programme of works. culture.

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Our Fraud and Corruption Control Plan gives employees guidance and direction on the UNAUTHORISED processes for preventing, detecting and USE OF CREDIT CARDS responding to fraud and corruption.

DFES provides support enabling compliance with CCC legislation, professional standards DFES staff hold corporate credit cards where their functions warrant use of this facility. The policies and Accountable and Ethical Decision cardholder agreement, signed by staff, includes an acknowledgement they are aware of their Making training to the Office of Emergency obligations under DFES’ credit card policy. During 2017-18 over 28,804 Corporate Credit Card Management. transactions were processed. Of those, 52 instances of personal use were identified and in each instance was declared by the cardholder. As these matters were noted and dealt with promptly, Legislative Compliance the nature of the expenditure was immaterial and the instances were characteristic of an honest DFES’ Regulation and Compliance Framework mistake, no disciplinary action was taken. (RCF) identifies, documents and manage DFES’ legislative responsibilities. The RCF establishes 2016-17 2017-18 separate action pathways to ensure DFES Aggregate amount $ $ adheres to legislation (regulation compliance) Personal use expenditure for the reporting period 1,685 1,666 and the community complies with administered legislation, such as total fire bans (external Personal use expenditure settled within 5 working days 1,300 1,533 compliance). Personal use expenditure settled after 5 working days 385 133 With more than 4,000 individual legislative Personal use expenditure outstanding at balance date 0 51 compliance provisions relating to DFES, software has been acquired and processes developed to ensure a defined, transparent and holistic system for ensuring DFES’ overall management of its legislated responsibilities.

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CORPORATE STRUCTURE

OTHER DISCLOSURES AND LEGAL COMPLIANCE

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MINISTERIAL DIRECTIONS

Ministerial Directives [TI 903(12)] Pricing Policies of DFES invoices and collects ESL charges on There were no Ministerial Directives during Services Provided publicly owned property. Each year the Minister 2017-18. User charges and fees are reviewed annually. for Emergency Services determines the ESL Increases in user charges and fees are generally rates and to raise an amount approved through Ministerial Communication limited to increases in the consumer price index the annual budget process each year. The In accordance with Section 74 of the Public as advised by the Department of Treasury. 2018-19 rates, charging parameters and other Sector Management Act 1994, DFES has associated ESL administrative matters were published in the Government Gazette on a communications agreement with the The ESL provides the majority of DFES’ funding, 29 May 2018. Minister for Emergency Services that outlines which supports: communication procedures between the • effective service delivery for bushfires Indemnity Insurance Minister’s office and our employees. This • structure fires DFES’ indemnity insurance is through RiskCover. agreement ensures that the Minister receives • cyclones accurate and timely information and advice. In • earthquakes Following DFES’ transition from a statutory 2017-18, 99% of correspondence was attended • floods authority to a Department on 1 November 2012, to within the specified timeframes. • incidents involving hazardous materials directors’ and officers’ liability insurance was taken out for seven years ending 30 June 2020 2017-18 2016-17 • severe storms to align with the Statute of Limitations. The • tsunamis Ministerial items 900 698 indemnity insurance covers both DFES and the (not including (not including • road crash rescues Office of Emergency Management. Parliamentary Parliamentary • a range of search and rescue call outs on land Questions) Questions) and water. The amount of the liability insurance premium Parliamentary 68 65 paid for seven years was $58,865. The proportion Questions The ESL is a State Government charge relating to this reporting period is $8,421. assessed on properties and Mining Tenements. Functions 135 40 Local governments collect ESL charges on attended by the (including (including private property and forward them to DFES. Minister events / events / meetings/visits) meetings/visits)

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CAPITAL WORKS

DFES has no contracts that fall within the scope of the Government Building Training Policy.

This information relates to land and building capital projects contracted through the Department of Finance’s Building Management and Works.

Capital building projects Completion date CFRS Wangara Fire Station Modifications Phase 2 September 2017 CFRS Vincent Fire Station April 2018 Capital works in progress Estimated completion (F/Y) CFRS Replacement Success Fire Station 2019/20 Construction anticipated to commence in 2018/19 with practical completion during 2019/20

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ADVERTISING (Electoral Act 1907)

In accordance with section 175ZE of the Electoral Act 1907, during 2017-18 DFES paid $199,039 to advertising agencies and media advertising organisations.

Advertising agencies $9,343 Adcorp Australia Limited $9,343 Market research organisations Nil Polling organisations Nil Direct mail organisations Nil Media advertising organisations $189,696 Albany Chamber of Commerce $185 $199,039 Anthologie $1,385 Britel Enterprises Pty Ltd $645 Facebook $2,712 Marsh Advertising Agencies $1,300 Nannup Community Resources Centre $110 Narrogin Observer $57 Optimum Media Decisions (WA) Ltd $137,155 Rare Pty Ltd $3,370 The Brand Agency $41,111 The West Australian $1,665

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COMPLIANCE WITH PUBLIC SECTOR STANDARDS AND ETHICAL CODES (Public Sector Management Act 1994, s31(1)) In the administration of DFES during 2017-18, I have complied with the Public Sector Standards in Human Resource Management, the Western Australian Public Sector Code of Ethics and our Code of Conduct.

I have established procedures to ensure compliance with these standards and codes and conducted appropriate internal assessments to satisfy myself that the statement made above is correct.

D Klemm AFSM Accountable Authority

21 August 2018

Breaches of Standards Review The applications made for breach of standards review and the corresponding outcomes for the reporting period are:

Number lodged: One Number of breaches found: Nil Number of multiple breaches: Nil Number still under review: Nil

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EMPLOYMENT AND INDUSTRIAL RELATIONS

The Public Service and Government Officers Workforce Management Equity and Diversity CSA General Agreement 2017 was registered DFES’ third Employee Survey was conducted in DFES is committed to providing a workplace with the Western Australian Industrial Relations December 2016. Trend analysis of the results where all staff and volunteers are valued and Commission on 8 December 2017. The were compared with the two previous surveys respected. This means we continually review Agreement is for a three year period, with annual to identify improvements and areas of concern. our culture and procedures to ensure everyone salary increases of $1,000, in line with the Public The Executive Leadership Forum developed a feels safe. Sector Wages Policy. number of key actions and strategies to address these at their conference held in September We aim to attract a wide range of candidates The DFES Fleet and Equipment Enterprise 2017. These will further inform the Workforce for vacancies and endeavour to appeal to Bargaining Agreement 2013 expired on 17 Plan and Strategic Plan. individuals from all walks of life. To improve our August 2016. This agreement is still subject to equity and diversity balance, when barriers are negotiations with the relevant industrial body. DFES managers report having successful identified, we formulate strategies to address professional development and performance them. Some of the achievements and strategies DFES’ Agency Specific Agreement (ASA) for management meetings using the MyPath tool. for 2017-18 were: public service staff expired in 2008. Until such Since 2016, there have been 1,417 MyPath • the appointment of the DFES Commissioner time a replacement agreement is registered, discussions with operational and corporate as AFAC Male Champion of Change the 2008 ASA remains current. In May 2018 the employees. • revitalisation and review of the Youth Civil Service Association (CSA) submitted their Engagement Strategy log of claims for a replacement agreement. The MyPath is currently a voluntary process and process is in the early stages as DFES considers the uptake across DFES continues to increase • intake of Aboriginal trainees the CSA claim. with approximately 50% of employees having a • introduction of an online disability awareness professional development discussion with their resource in DFES’ online induction program managers. Ongoing training is available on how • review of our Disability Access and Inclusion to conduct open discussions about employee Plan. needs and management expectations.

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To align with the State Government’s “Attract, At 30 June 2018, the diversity representation at • exercise prescription Appoint and Advance” strategy for Aboriginal DFES was: • return to operational duties people, all recruitment for long term contract 2017-18 2017-18 • external sporting events. and permanent positions have encouraged Target Actual Aboriginal people to apply in the first Diversity Group (% FTE) (% FTE) A station officer and a senior firefighter have joined the Wellness Branch to give an instance. This strategy has seen an increase Employees from a 4.9% 4.3% operational view to these programs and in the number of applications and staff who culturally diverse identify as Aboriginal. background services. Both Officers have integrated seamlessly into the team and are developing Employees identifying 3.4% 3.0% Since June 2018, as part DFES’ commitment valuable working relationships with staff and to building a more diverse and collaborative as Indigenous Australians volunteers throughout the State. organisation, selection panels for appointments over 6 months require: Employees with a 2.5% 0.43% The DFES firefighter transition to retirement • all members to complete substantive equality disability project has completed phase 2. Phase 3 will (non-operational roles) and unconscious bias training commence with focus groups to investigate the • have at least one independent voting member Women 19.38% 19.43% feasibility, effectiveness and implementation of the preliminary findings of phase 2. Some of • gender diversity. Youth (under 25 years) 3.9% 1.7% these findings have been implemented such as Three substantive equality and unconscious Wellbeing the ongoing provision of EAP support to retired firefighters and their immediate families. bias training sessions have been held, with more DFES’ Wellness Branch won the IPAA Award booked in the coming months. for Best Practice in Health and Wellbeing for Recruitment our Mental Health First Aid program. All those involved are to be congratulated. Firefighter Recruitment The Branch offers a suite of programs and A highly successful recruitment campaign in services to assist staff and volunteers with 2016 resulted in suitable applicants identified managing their mental and physical health for future firefighter training schools. This made including: it unnecessary to run firefighter recruitment • peer support during 2017-18. • employee assistance program (EAP) The opportunity was therefore taken to conduct a • critical incident response comprehensive review of firefighter recruitment, Click on photo to view video – DFES celebrates Harmony Day • mental health first aid resulting in a more streamlined process.

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General Recruitment Staff Development To meet the government’s salary cap Learning and Development is responsible for the requirements, DFES had a recruitment freeze development, delivery and management of: from 5 February to May 2018 for all non- • operational training operational positions. • Pathways • doctrine and curriculum Staff Profile 2016-17 2017-18 • training administration systems and records Full-time permanent 1,530 1,478 • operational preparedness, capability and Full-time contract 62 52 performance reviews • State exercise development Full-time trainees 27 0 • maintenance training and specialist programs Full-time apprentice 1 1 development and facilitation Part-time permanent 52 28.7 • registered training organisation compliance.

Part-time contract 15 4.77 In 2017-18, internal and external training Part-time trainee 0 0 providers delivered: • a total of 2,236 courses across WA to 6,493 On secondment (at 2 0.6 staff, 19,357 volunteers and 309 external DFES) personnel On secondment (to 1 1 • 266 of the 2,236 courses were conducted other agencies) at the WA Fire and Emergency Services Casual 5 0 Academy for 2,994 staff, 1,866 volunteers and 101 external personnel Total FTE 1,693 1,566.07 • 1,733 staff and 4,824 volunteers completed online courses through the eAcademy Learning Management System.

Human resource, organisational development, payroll, advice and access to employee health and wellbeing programs are provided to the Office of Emergency Management.

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OCCUPATIONAL SAFETY, HEALTH AND INJURY MANAGEMENT (Public Sector Commissioner’s Circular 2012–05: Code of Practice: Occupational Safety and This year, the Commissioner approved funding How we educate and communicate with our Health in the Western Australian Public Sector) for a District Officer to join the Health and Safety people Services team in Cockburn, to provide high We use a number of mechanisms to consult level operational knowledge and guidance. The with employees and volunteers on matters At DFES, we are committed to maintaining the Officer has extensive operational experience relating to health and safety. These include: health and safety of our people and reducing and draws on this to provide advice on how workplace illness and injury. • formal Health and Safety Committee (HSC) best to integrate safety into frontline operations. meetings – these take place quarterly and The dynamic nature of emergency services He provides a deeper understanding of the involve more than 50 elected health and means we regularly operate in a hazardous challenges and requirements of operation safety representatives across DFES. The HSC environment. This makes it imperative to personnel, and assists in putting health and meetings provide representatives with an have mechanisms in place to manage these safety process or procedural changes into avenue to raise and resolve complex safety hazards in extreme circumstances. This is practice more efficiently. issues or highlight ways to improve health why we continuously refine and enhance our The Team also made significant inroads in and safety practices more broadly. health and safety systems and procedures, improving the DFES Safety Management The meetings help ensure recommendations including improving the way we educate and System and the way we communicate and are socialised prior to being referred to the communicate with our people. consult on health and safety. CLT for a decision. They also provide a forum for updating the HSC on current initiatives Our commitment to health and safety is driven We all have a responsibility to keep ourselves and seeking feedback on changes to policies by our CLT, and is evident throughout DFES. The and our colleagues safe from harm and we are and procedures. The Committee then makes Health and Safety Service team reports directly committed to providing the systems, knowledge recommendations to the CLT on how to to the Commissioner, who promotes key health and guidance to promote health and safety in resolve issues or implement improvements. and safety messages on a quarterly basis. the workplace. HSC meeting minutes are available on the The Commissioner’s regular health and safety intranet. messaging and focus is a key part of health and safety leadership at DFES.

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• tool box meetings – these are held quarterly • Certificate IV training – DFES offers a A dedicated Safety Investigator has been at fire stations to encourage health and safety customised Certificate IV qualification in permanently appointed and a new policy and conversations and manage local issues Work Health and Safety. The Certificate procedure has been approved by the CLT. identified in online hazard reports. Issues IV qualification helps health and safety The audit schedule and management review can range from station specific hazards such representatives develop their understanding template have also been developed. as a faulty appliance, to broader issues that of all key areas of health and safety, may affect all frontline teams, such as design including effective safety management in the This year, the first key safety control audit faults or weaknesses in equipment. Issues workplace and compliance with the latest commenced. The audit is reviewing high that cannot be resolved locally are escalated legislation. Participants also learn effective risk areas for DFES which are the wearing of to the HSC. consultation and communication tools to breathing apparatus, emergency driving and burnover procedures. • information sessions – information sessions assist them disseminate information and are held throughout the year to engage participate in the drive to continually improve Changing how we report on safety and educate elected health and safety health and safety at DFES. performance representatives. Invitations are also extended Improving the Safety Management System An internal review procedure, tool and schedule to any other interested DFES staff and have been developed by the Team to verify and volunteer associations. Our Safety Management System is integral to the capture, analysis, reporting and report on safety performance. These resources Information sessions during 2017-18 management of health and safety related provide the CLT a clearer view of safety ‘on included Worksafe workshops on noise and information. We are constantly working to the ground’ and the extent to which safety a presentation from Edith Cowan University improve our system and safety controls by processes and procedures are followed. (ECU) on detecting hazardous substances in conducting audits and implementing new The Team also recommends how to improve the environment. The ECU presentation led to reporting and updating procedures. safety messaging and compliance within the DFES adopting a research proposal to further Safety Management System. assess the hazardous substances personnel Audit and review are exposed to. An annual management review procedure, tool In 2016, the Safety Management System was The health and safety representatives and report template has also been developed audited. The audit gave 40 recommendations, pass on information from these sessions to evaluate the performance of the Safety all of which have either been closed or are through toolbox meetings or through Management System. This process allows being actioned. Some of the more significant general discussion with staff. Copies of issues to be identified and addressed in a timely recommendations included the development the presentations are also loaded onto our manner, allowing any recommendations to be of a legal compliance register, improvements intranet page. considered in the DFES planning cycle. to resourcing of safety investigations, creation of an audit schedule and a requirement for ongoing management review.

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Developing hazard management plans for high Proactive Health and Safety Strategies The synopsis has a dedicated webpage and risk work is intended to complement the preparedness Shift work In response to an increased demand for and training initiatives for those involved in occupational hazard awareness and education, Fatigue is a significant hazard for shift workers. emergency response activities State-wide. The DFES commenced the development of hazard To help them manage their fatigue, DFES has synopsis also information on managing fatigue management plans for high risk work including: developed a video that identifies some of the and other relevant safety matters. health and safety related issues, and outlines • working with electricity practical strategies to minimise the physical and The video explains how to identify the signs • working in thermal environments emotional effects of shift work. of heat related illness in yourself and others. • noise It also specifies the importance of preventing • working at height We have also developed creative education heat stress, especially when wearing Personal • working alone. tools for shift workers’ families, including Protective Equipment during operational colouring-in resources to help communicate to activities. The hazard management plans provide a young children why their parent(s) may need to description of the hazards and associated risks, sleep during the day. and explain control measures to be considered before undertaking the high risk work. This Heat Stress provides our employees with the foundation to Heat stress is another significant risk for our complete safety risk assessments while they personnel. To inform our personnel on how they are completing a high-risk task. The plans also can combat heat stress, we have developed provide a valuable training resource. a video titled ‘Don’t let heat stress bring you down’. The link to the video is available on the In developing the plans, we liaised with subject Intranet and was sent to all personnel through: matter experts and other agencies such as DMIRS who provided advice in the development • a general circular of the Working with Electricity Plan. • the Commissioner’s quarterly safety message • volunteer newsletters. Click on photo to view video on managing heat stress

The video was promoted through the 2017-18 WA Cyclone and Southern Bushfire Season Synopsis to all operational personnel.

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Health and safety training • shift work and heat stress These were used by fire services nationally Online health and safety training is provided to • manual handling up until 2003.The results of this program may all employees through the e-academy and is • exposure to blood and body fluids. contribute to future research into the issue and mandatory for all employees and contractors. provide a baseline blood level of PFAS for those It contains information about: In a move to improve volunteer engagement tested. in health and safety issues, our Team has • why we have a Safety Management System presented at Volunteer Advisory Group • where to find information Workers’ Compensation and Injury meetings and visited brigades, groups and units Management • who to contact for support in metropolitan and country areas. These have Hard work has paid off for Workers’ • how to report and manage hazards provided a great opportunity to understand Compensation and Injury Management (WCIM) • communication and consultation the unique hazards and challenges in different this year with the team seeing a marked mechanisms that are available. regions, as well as valuable insight into the improvement in lost time incidence and severity health and safety needs of volunteers. Specific training for operational managers for the majority of injured workers. is provided through the Operational Support Health and Well-Being A focus on early intervention and delivering Program. The program commences in May each A Health and Wellbeing Working Group education and injury management support year and involves a one-on-one discussion with has been established to develop a Health services to all our firefighters has resulted each operational manager to discuss health and and Wellbeing Program that will include in most returning to work, in some capacity, safety responsibilities managing safety within occupational medical health screening. Medical immediately following their injury. their area. health screening will be designed to respond to The Team regularly visits metropolitan and specific occupational risks such as exposure country regional offices, offering practical to hazardous substances and noise. A video is support and advice. Health and safety training being developed to promote the program and its is also provided as part of the development availability to employees. programs for station and district officers. DFES has also developed a proactive blood testing program for all past and present Volunteer Engagement firefighters concerned they may have been The Team submits a safety related article to exposed to polyfluoroalkyl substances (PFAS). each edition of volunteer newsletters. Topics The testing program is available to all past and covered over the past year included: present staff and volunteers who may have used • hazard and injury reporting or been in contact with Aqueous Film Forming Click on photo to view video on WCIM support post injury. • cleaning Personal Protective Clothing and Foam (AFFF) (B-class foam). Equipment Department of Fire and Emergency Services | Annual Report 2017-18 191 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

The lost time incidence and severity rate for This important training was delivered to District DFES support these professionals through: 2017-18 is our lowest to date. The WCIM team Officers and Superintendents, who have direct • continued professional development to achieved this through a range of initiatives responsibility for career stations and volunteer maintain qualifications including a new case management system, the brigades, groups and units. To embed the • conferences introduction of educational presentations to training into the future, our newly promoted • network meetings line managers and improved access to WCIM Station Officers and District Officers were • mental health first aid training resources. included in the roll-out. • de-escalation techniques training. The presentation included a ‘how to’ on injury New case management system saves time and In recognition of the Team’s exposure to the management and included information improves our service challenges and incidents faced by firefighters on the legislative requirements of both the Implemented in 2017-18, the new case and first responders, professional supervision employer and injured worker under the Workers’ management system has significantly reduced was introduced this year. The quarterly Compensation and Injury Management Act 1981 time spent on records management. We have professional supervision meetings allow the and our Workers’ Compensation and Injury been able to eliminate double and triple handling Team to debrief and build resilience. These Management Policy. of paperwork, enabling the WCIM team to meetings help maintain mental wellbeing and implement industry best practice and approach continue to deliver exceptional service to our Providing better access to our resources injury management in a more holistic way. colleagues. A recent content update and redesign of the The focus in 2018-19 will be to fully integrate this WCIM intranet site means educational resources DFES continues to be a host of choice for system with our payroll systems to allow more can be provided in a variety of formats. practicum students enrolled in allied health efficient payment of workers’ compensation and degrees. During 2017-18, two practicum The focus in 2018-19 will be to ensure insurance reimbursements. As historical data is students gained extensive hands-on experience volunteers have access to the same resources captured, the capacity to report on injury data, in the workers’ compensation and injury and information via the new Volunteer Hub. trends and costs will be indispensable to other management field. DFES teams. The WCIM team is continuing to work on this initiative with other government Growth and support for our team and future Occupational safety, health and injury health professionals departments such as WA Police. management and workers’ compensation Our Team is made up of highly skilled management services are provided to the Educating our line managers in injury professionals, many of who specialise in Office of Emergency Management. management occupational therapy, physiotherapy and The Team successfully rolled out an injury registered nursing. As such, professional management presentation to line managers development is extremely important to stay up across the metropolitan area this year. to date in their fields and maintain best practice.

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TABLE OF RESULTS Public Sector Commissioner’s Occupational Safety and Health Performance indicators 2017-18.

Rolling Comment on Result 3 Year Indicator Target 2014-15 2015-16 2016-17 Average 2017-18 Result Achieved? Number of Fatalities Zero (0) 0 1 1 0.3 0 0 ✔ *Lost time injury/disease (LTI/D) Zero (0) or 10% improvement 8.94 10.91 8.95 9.60 6.77 -29% ✔ incidence rate on the previous three (3) years Lost time injury severity rate Zero (0) or 10% improvement 17.65 20.48 16.08 18.07 13.21 -27% ✔ on the previous three (3) years % of injured workers returned to 97.79 96.99 97.90 97.56 84.91 work within 13 weeks % of injured workers returned to Greater than or equal to 80% 100 98.95 100 99.65 97.17 ✔ work within 26 weeks % of managers and supervisors Greater than or equal to 80% 75 80 85 80 85 +5% ✔ trained in occupational safety, health and injury management responsibilities

Statistics have been calculated using RiskCover data and DFES average FTE data. *Results relate to injured workers whose accident date occurred during 2017-18 and who returned to their pre-injury hours.

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RECONCILIATION ACTION PLAN

Cultural Governance Training Cultural governance training outcomes were • emergency contacts and event notification Building organisational capacity to engage successfully implemented on a Goldfields procedures effectively with the Aboriginal community is a town reserve following an incident where a fire • first aid capabilities core outcome for the Aboriginal Advancement appliance was damaged. DFES staff, WA Police • food and fuel stocks. Unit (AAU). During the year, the unit has and the local Aboriginal Elders were able to delivered cultural governance training to staff resolve the issues that led to the incident and At the meeting, the elders asked that each of and volunteers around the State. have planned a joint community open day and the 16 communities be given the direct on-call engagement forum to be held in October 2018. mobile numbers for DFES, SES and WA Police in Notably, in the Bunbury regional office staff and the Fitzroy Valley region rather than calling the firefighters were able to collaborate effectively Fitzroy Crossing Remote Aboriginal Perth head offices. This information has been with the Goomburrup Aboriginal Corporation on Community Emergency Management Planning provided to the community elders in the five the Kaarla Fire Art Project. This collaboration local languages. The AAU, regional staff, representatives from developed a deeper level of engagement the community, Department of Housing, WA and partnership between DFES and the local Police, SES and municipal service provider Targeted Training Aboriginal community. Marra Worra Worra met in Fitzroy Crossing in DFES is committed to increasing Aboriginal November 2017 to follow up on progress of employment opportunities through traineeships, emergency management plans for 16 remote apprenticeships and school based programs. Aboriginal communities. During the year, Aboriginal people were invited to apply for all positions with 57 application Issues canvassed during the workshops received. At 30 June 2018, 3% of staff identified included: as Aboriginal. • fire management training for Rangers • environmental health issues associated with DFES’ Aboriginal Trainee Program provides residual post flooding water sources successful applicants 12 months employment following their traineeship to consolidate • safe shelter and exit plans learning and enhance their competitiveness for Kaarla Fire Art Project artist Stephen Taylor with an example of his work permanent appointment. Department of Fire and Emergency Services | Annual Report 2017-18 194 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

The opportunity for long-term employment is offered to Aboriginal trainees following their internship. During the year, a trainee from the 2013-14 intake secured a permanent promotion as a Payroll Officer and our Radio Communications apprentice successfully completed his first year apprenticeship.

In 2017-18 DFES employed eight Aboriginal trainees, six of whom went on to successfully complete a Certificate III in Government. Three trainees are studying at University, one taking up full time study in Engineering.

Fostering a strong sense of cultural identity is a foundational pillar of the DFES Aboriginal Trainee Program. To that end, the December 2017 Woodman Point camp coordinated by the AAU involved a range of team building challenges and cultural education sessions conducted by local Aboriginal Elders, culminating in a family night.

DFES attended the ‘Banksia Hill Detention Centre Jobs Expo’. As a result, a partnership with the Department of Corrective Services has been established for the AAU to deliver a customised Emergency Services Cadet Corps program to detainees. This program aims to provide a pathway for detainees once released to participate in local programs and volunteering when they return to their communities.

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DISABILITY ACCESS AND INCLUSION PLAN (Disability Services Act 1993, s29)

DFES recognises that staff and members of Our Disability Access Committee aims to Achievements the community with disabilities face challenges address this through the implementation of Our achievements over the past 12 months in the workplace and may be especially the Disability Access and Inclusion Plan (DAIP) include: vulnerable when natural disasters and other initiatives. • an audit of the accessibility of DFES buildings emergencies occur. was completed and improvements will be progressed through our minor works process • formal processes to provide Auslan interpreters at press conferences and community meetings during emergencies were developed in partnership with WA Deaf Society • the volunteer portal was made W3C 2.0 Level AA compliant • continuing financial support to the WA Deaf Society for Auslan interpreter training in emergency broadcasting • publishing the Inclusive Consultation and Engagement policy identifying responsibilities and procedures for inclusive consultation and engagement • an online disability awareness training platform was launched • a review of the At Risk Communities program to ensure it is in simple English, uses DFES and WA Deaf Society partnering to provide Auslan interpreters

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appropriate symbols and easy to follow steps. Our priorities for 2018/19 are: Industry stakeholders including the disability • embed our online induction and orientation and aged sectors actively contributed to the training as mandatory training redesign • review the DAIP 2015-2020 to ensure it • ensuring people with disabilities are well remains current represented within research participant • continue to conduct disability awareness samples and surveys. sessions for staff to increase skills and understanding of disability issues. Online disability awareness training The DAIP applies to staff, volunteers and the In 2017 DFES commenced development of Office of Emergency Management. online disability awareness training, an initiative of the DAIP Committee. With the assistance of external subject matter experts, the project identified employees and volunteers who were willing to assist by providing their expertise and, in some instances, their own story.

The challenge was to work within the limitations of online as opposed to face to face training. It includes interviews with a range of staff and volunteers. The message is broken down into modules so it can be paused and restarted at any stage.

The key messages include: • what does disability mean to you • positive outcomes • the law • small effort • building accessible communities • respect and positive attitudes.

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RECORD KEEPING PLANS (State Records Act 2000 and State Records Commission Standard 2, Principle 6) DFES is committed to providing efficient and • an updated Intranet site providing easier effective recordkeeping practices and continues access to records information is ready to to develop processes to meet business need. deploy Our initiatives to support good recordkeeping • implementation of a new business practice include: classification scheme • an updated Mail Services Policy, including • a review of Records Manager’s security parameters procedures and instructions on ‘safe mail New record keeping intranet site handling’. Information Resources and other • shared data drives cleaned to support the Disposal program staff have been trained on how to identify and ongoing increase in use of Records Manager. mitigate risks associated with incoming mail Over 535 archive boxes were processed for • reviewing and updating our Records Training and record keeping storage this year. These contain a variety Management Policy, including digital records As part of their induction, new employees must of records and each one was assessed for management complete Recordkeeping Awareness Training. potential State archives value and ongoing In 2017-18, a total of 160 staff were trained over business requirements. • providing comprehensive information on the 62 sessions. obligations of employees under the State Records Act 2000 With the planned upgrade to Content Manager • a ‘health check’ of our information in 2018-19, refresher training programs will be management system, Records Manager. provided. Recommendations will be implemented by Work has been completed on the intranet site to December 2018 to ensure the system is ready improve searching for information regarding the to upgrade to Content Manager in 2019 set up and use of Records Manager. This will deployed in August 2018.

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FREEDOM OF INFORMATION (Freedom of Information Act 1992 (FOI Act) – section 111) DFES’ Freedom of Information Statistical Return There were four requests for internal review. Freedom of Information Applications 2017-18 (including the Office of Emergency Management Of those, the original decision was upheld for Applications carried over from 7 (OEM)) for the period 1 July 2017 to 30 June one, set aside for two and one review will be previous reporting period 2018 has been submitted to the Information completed during 2018-19. New valid applications received 194 Commissioner as required under the Act. There were six applications from the media or within this reporting period As in previous years, most applications sought Members of Parliament. Total applications for 2017-18 201 access to non-personal information including Applications withdrawn or invalid 6 fire incident and fire investigation reports, in Fifteen applications were carried over to (includes documents not found) 2018‑19. relation to structure fires. Applications transferred to another 1 agency We received 194 valid applications. One was The average processing time for each transferred to another agency and a further application was 17.4 days, which is the same as Edited access granted 172 seven were carried over from the previous 2016-17. The maximum period permitted under Full access granted 1 the FOI Act is 45 days. reporting period. Access denied 0 During 2017-18, 191 applications were The Information Statement, required under Access deferred 6 addressed. Edited access was granted to 178 Part 5 – Publication of Information about Applications not yet finalised (rolled 15 applications (including documents not found), Agencies of the FOI Act, has been updated and over to next reporting period) of which six were later withdrawn. One was is available with the Application Form on our Freedom of Information Fees and Charges granted full access and six were deferred. No website. 2017-18 application was denied. Application fees collected $5,610 Actual charges collected $486 Charges waived (when processing $2,943 costs are less than $20.00)

Department of Fire and Emergency Services | Annual Report 2017-18 199 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

GLOSSARY

Accountability is traditionally established when Emergency Operations Centre is a facility, either Outcomes are the effect, impact, result on or Parliament confers responsibility on public static or mobile, from which the total operation consequence for the community, environment sector agencies to account through a Minister or aspects of the operation are managed. A or target clients of government services. for all that is done, the manner in which it is facility established to control and coordinate Service means the supply of an activity or done and the ends sought to be achieved. the response and support to an incident or goods to a user external to the entity providing Agency means a department a sub-department emergency. the service. or a statutory authority as defined in the Financial Statement Audit is an audit Stakeholder is a person or entity that has a Financial Management Act 2006. performed to enable an opinion to be expressed primary interest in, or a significant influence Appliance is a frontline operational vehicle about whether or not the financial statements over, DFES activities. equipped to attend emergency incidents. are relevant and fairly represent indicated performance. Statutory Authority means a person or Audit includes to examine, investigate, inspect body specified in Schedule 1 of the Financial and review. Financial Statements are a structured set of Management Act 2006. These agencies are financial information including explanatory Commands are the four main organisational established by Parliament. notes derived from accounting records to structures making communicate an entity’s financial performance Sub-department means an entity in respect of up DFES. and cash flows, and at a point of time its which a declaration under section 56(2) of the Department means a department of the public financial position. Financial Management Act 2006 has effect. sector established under the Public Sector Key Performance Indicator Tenure-blind means irrespective of land Management Act 1994. is information about material aspects of service ownership. Effectiveness Indicators are key performance performance or outcome achievement. Treasurer’s Instructions are prescribed indicators that provide information on the Key Performance Indicator Audit is an audit requirements for financial administration that extent to which desired outcomes have been performed to enable an opinion to be expressed have the force of law and must be observed achieved, or contributed to, through the delivery about whether or not the key performance by public sector agencies under the Financial of services. indicators are relevant and appropriate and fairly Management Act 2006. Efficiency Indicators are key performances represent indicated performance. indicators that generally relate services to the budget required to deliver them.

Department of Fire and Emergency Services | Annual Report 2017-18 200 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

ACRONYMS

AAU Aboriginal Advancement Unit ERA Economic Regulation Authority PFAS Polyfluoroalkyl substances ACP Aluminium Composite Panels ESC Emergency Services Complex SEMC State Emergency Management AFAC Australasian Fire and Emergency ESL Emergency Services Levy Committee Service Authorities Council ESM Emergency Services Medal SES State Emergency Service AFFF Aqueous film forming foam FES Fire and Emergency Services SHP State Hazard Plan AFSM Australian Fire Service Medal FES ERG Fire and Emergency Services SWORD State Wide Operational Response ARMC Audit and Risk Management Emergency Response Guide Division Committee FESA Fire and Emergency Services TFB Total fire ban ASA Agency Specific Agreement Authority of Western Australia TI Treasurer’s Instruction BFS Bush Fire Service FOI Freedom of Information USAR Urban Search and Rescue BOM Bureau of Meteorology FTE Full Time Equivalent VFES Volunteer Fire and Emergency BRMP Bushfire Risk Management Planning HAZMAT Hazardous Materials Services CAD Computer aided dispatch HSC Health and Safety Committee VFRS Volunteer Fire and Rescue Service CEO Chief Executive Officer IPAA Institute of Public Administration VMRS Volunteer Marine Rescue Services CFRS Career Fire and Rescue Service Australia WA Western Australia CLT Corporate Leadership Team KPI Key Performance Indicator WAFES WA Fire and Emergency Services CSA Civil Service Association LG Local government WCIM Workers’ Compensation and Injury CSV Communications support vehicle LGGS Local Government Grant Scheme Management DAIP Disability Access and Inclusion Plan LUH Light utility helicopter DBA Direct Brigade Alarm MLA Member of the Legislative Assembly DFES Department of Fire and Emergency MoG Machinery of Government Services NCCR National Construction Code DMIRS Department of Mines, Industry, Regulations Regulation and Safety OBRM Office of Bushfire Risk Management ECU Edith Cowan University OEM Office of Emergency Management

Department of Fire and Emergency Services | Annual Report 2017-18 201 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

APPENDICES

Department of Fire and Emergency Services | Annual Report 2017/18 202 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

APPENDIX 1 DFES staff allocation FTE EMERGENCY Employees covered by the Western Australian Fire Service Enterprise Bargaining 1,170.3 RESPONSE Agreement 2017 STATISTICS Others 395.77 Total 1,566.07 ALL FIGURES CURRENT AS AT 30 JUNE 2018 Cadets and Juniors Emergency Services Cadets 2,077 Juniors registered with brigades, groups and units 489 Total cadets and juniors 2,566 Emergency Services Cadet Units 41 Junior Cadet Programs 85

Number of

Brigades, Volunteer numbers Groups or Volunteers Units Operational Support Total Volunteer Bush Fire Service 566 17,363 2,305 19,668 State Emergency Service 65 1,783 50 1,833 Volunteer Fire and Emergency Services 35 921 85 1,006 Volunteer Fire and Rescue Service 94 2,308 6 2,314 Volunteer Marine Rescue Services 39 1,773 0 1,773 Other DFES Volunteers 2 15 0 15 Total 801 24,163 2,446 26,609

Note: Total will not correlate with total regional volunteer numbers on page 7 as it includes volunteers who are dual registered.

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Fire and Emergency Services incident Aviation services response – all services Total litres Number of Incidents of fire incidents Number of in Activ ­ Number suppress­- Aircraft type aircraft 2017-18 ations of drops ant Structure Fires 1,241 Aerial Fire 6 94 140 1,419 4,110,992 Bushfires 4,909 Suppression Other Fires – Includes Rubbish 2,765 Type 1 (Bell 214B) Helitak Road Crash Rescues 2,815 Aerial Fire 1 9 9 220 467,083 Non-Fire Rescue Calls 1,965 Suppression Hazardous Situations – Not Fire 629 Type 1HV (Aircrane) Petrol or Flammable Spills and Gas Leaks 388 Helitak System Initiated False Alarms 9,373 1,639 4,578,075 Good Intent False Alarm Calls 3,525 DFES Aerial 1 56 99 Malicious False Alarms 338 Intelligence Helicopter Flood, Storm or Other Natural Disaster 271 DFES Air 2 38 42 Service Calls (Excludes Storm and Natural Hazards) 95 Attack Attendance Called Off on Route 608 and Utility Support Not Classified 39 Helicopter Total responses provided by all services 28,961 Aerial firefighting and helicopter services are provided through a The number of incidents attended by DFES is more than 3% lower than combination of state and national procurement arrangements. Aerial last year (30,086 responses in 2016-17). firefighting prime contractors include McDermott Aviation, Kestrel Aviation and Heliwest.

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RAC Rescue Number of Primary Secondary Search helicopters aircraft retrievals retrievals and rescue Tasks 2017-18 Bell 412EP – 1 259 83 21 363 Arson and fire investigation Jandakot Formal Investigations 104 Bell 412EP – 1 218 57 13 288 Bunbury This year there were 10% more formal investigations than 2016-17 (94).

Contractors providing the aeromedical rescue services known as RAC Built environment safety 2017-18 Rescue are: New building plan assessments 1,395 • CHC Helicopters (Australia) provides the helicopters and flight crew (Commercial and non-commercial) • St John Ambulance provides critical care paramedic services. Inspections 361

Non commercial building plan assessments include health care facilities, aged care facilities, assembly buildings, schools, universities and residential apartments (hostels, motels, etc.). Commercial assessments include major complex building sites are also presented for assessment (i.e. shopping centres with apartments above and within these complexes). This year 1,395 commercial building plan assessments were conducted, a 13.5% reduction from 2016-17 (1,584).

Inspections decreased by 11.3% this year compared to 2016-17 (402). This decrease was a result the downturn in the building industry and fewer building plan assessment applications being received.

DFES does not have a statutory obligation to test and inspect installed fire services for newly constructed buildings.

Department of Fire and Emergency Services | Annual Report 2017-18 205 Executive Corporate Report on Financial Statements Governance Other Disclosures Appendices Summary Structure Operations and Performance Indicators and Legal Compliance

In 2017-18, the Emergency Services Levy (ESL) The ESL also supports specialist activities APPENDIX 2 collected from ratepayers was $330 million, $3 across the State such as fire investigations, EMERGENCY SERVICES million from local government owned properties building investigations, emergency planning and and $23 million from the State Government and community safety programs. LEVY COLLECTIONS non-trading State enterprises. The ESL raised by AND ALLOCATIONS local government area is shown in Table 3 on ESL raised in 2017-18 has been used to fund page 209. the following major activities. Please note this is a high level grouping of cost allocations for The money collected provides facilities, the year#. equipment and resources, protective clothing, uniforms, vehicles and training for WA’s fire and emergency services personnel, both career and volunteer across the State. Table 1: Major activities funded through the ESL

Asset Management and Upgrade and construction of new Bushfire Risk Management – $4 million Maintenance – $35 million Buildings – $9 million Enhancing the efficient and effective Maintenance, improvements and Completion of CFRS Vincent and management of bushfire related risk in repairs of response vehicles and minor upgrade of Wangara, CFRS Western Australia in order to protect people facilities. tunic room builds, Jandakot Air and assets valuable to communities. Operations Base, VFRS Dampier and VFRS Northampton. Career Fire and Rescue Service – New Firefighting Equipment – Emergency Services Training – $132 million $4 million $25 million Employed personnel in the fire Replacing operational protective Providing professional development trucks who are response ready clothing, the jaws of life and for volunteers and career employees 24/7 across Perth, Albany, breathing apparatus to protect to enhance their operational and Bunbury, Geraldton and Kalgoorlie. our valued emergency services organisational skills within the WA . personnel as well as the community. community.

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Volunteer Fire and Rescue Aerial Firefighting Fleet – Volunteer Engagement – $2 million Service / Volunteer Fire and $13 million Maintains and sustains our Volunteer Emergency Service – $17 million The aerial fleet that responds workforce. The committed volunteers in fire rapidly to emergency incidents, trucks throughout WA who provide strengthen capabilities and protect emergency management services. lives and property during the bushfire season. State Emergency Service – Emergency Planning – $6 million Health and Wellness – $4 million $11 million Planning and operational readiness Enhancing psychological and physical well- The steadfast volunteers in activities to inform operational being for emergency services employees orange that provide a wide range resource requirements. and volunteers. of volunteer services to help the community cope with the impact of a disaster. Bush Fire Service – $30 million Emergency Response Centre – Technology and Communications – The dedicated volunteers in $14 million $22 million the fire trucks who protect WA The calm and collected voices The technology behind all the emergency from bushfires through fire on the call centre who respond to services delivered across the State prevention and risk management, your ‘000’ call in the event of an including radios, EmergencyWA website, fire suppression and fire safety emergency. Automatic Vehicle Location and Computer education in rural and pastoral Aided Dispatch. areas. Volunteer Marine Rescue Community Safety $20 million Emergency Response costs – $5 million Services – $3 million Encompassing programs and Additional ongoing support and resourcing The devoted volunteers along the liaison focussed on building to suppress bushfires occurring during the WA coastline who protect and a strong relationship with the year. save lives at sea. community of WA.

# Figures have been rounded to the nearest million, and includes an allocation of insurance expense of $9 million and other indirect expenditure of $28 million on a weighted average basis.

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A portion of the ESL monies collected and reflected in the table on pages 206 and 207 is for direct distribution in the form of operating and capital grants. A high level summary is reflected below. Further information on all grant expenditure is available in note 3.2 of the Financial Statements.

Operating Capital Total Table 2: Grant expenditure from the ESL in 2017-18 $’000 $’000 $’000 Local Government Grant Scheme – Bush Fire Service* 9,177 16,309 25,485 Local Government Grant Scheme – State Emergency Services* 2,038 7,872 9,910 Community Emergency Services Managers 2,428 – 2,428 Volunteer Marine Rescue Services 1,602 251 1,852 Grants to volunteer entities 876 – 876 Grants to volunteer representative bodies 621 – 621 Private brigades 234 – 234 Other ESL grants 395 329 724 17,371 24,761 42,132

* A detailed breakdown of grant allocations approved to local governments for Bush Fire Brigades and the State Emergency Service can be found on DFES’ website at www.dfes.wa.gov.au.

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Table 3: 2017/18 ESL Raised by Local Government ESL raised represents levies raised by local governments on behalf of ratepayers and in respect of local government owned properties. It does not include ESL relating to property owned by the State Government or Government Corporations. ESL raised ESL raised ESL raised Local Government ($’000s) Local Government ($’000s) Local Government ($’000s) City of Albany 3,102 Shire of Chapman Valley 67 Town of East Fremantle 1,256 City of Armadale 9,197 Shire of Chittering 213 Shire of East Pilbara 519 Shire of Ashburton 492 Town of Claremont 2,523 Shire of Esperance 707 Shire of Augusta-Margaret River 859 City of Cockburn 16,054 Shire of Exmouth 208 Town of Bassendean 2,381 Shire of Collie 382 City of Fremantle 7,562 City of Bayswater 9,620 Shire of Coolgardie 229 Shire of Gingin 423 City of Belmont 8,495 Shire of Coorow 90 Shire of Gnowangerup 80 Shire of Beverley 110 Shire of Corrigin 67 Shire of Goomalling 59 Shire of Boddington 92 Town of Cottesloe 1,575 City of Gosnells 13,533 Shire of Boyup Brook 103 Shire of Cranbrook 65 City of Greater Geraldton 3,386 Shire of Bridgetown-Greenbushes 258 Shire of Cuballing 52 Shire of Halls Creek 73 Shire of Brookton 58 Shire of Cue 31 Shire of Harvey 1,080 Shire of Broome 996 Shire of Cunderdin 75 Shire of Irwin 220 Shire of Broomehill-Tambellup 62 Shire of Dalwallinu 78 Shire of Jerramungup 93 Shire of Bruce Rock 59 Shire of Dandaragan 280 City of Joondalup 21,673 City of Bunbury 4,138 Shire of Dardanup 602 Shire of Kalamunda 6,310 Shire of Busselton 2,155 Shire of Denmark 326 City of Kalgoorlie-Boulder 2,895 Town of Cambridge 5,016 Shire of Derby-West Kimberley 209 Shire of Katanning 183 City of Canning 17,466 Shire of Donnybrook-Ballingup 267 Shire of Kellerberrin 71 Shire of Capel 992 Shire of Dowerin 46 Shire of Kent 37 Shire of Carnamah 41 Shire of Dumbleyung 42 Shire of Kojonup 94 Shire of Carnarvon 255 Shire of Dundas 72 Shire of Kondinin 57

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ESL raised ESL raised ESL raised Local Government ($’000s) Local Government ($’000s) Local Government ($’000s) Shire of Koorda 32 City of Nedlands 4,000 Shire of Trayning 30 Shire of Kulin 46 Shire of Ngaanyatjarraku 1 Shire of Upper Gascoyne 9 Town of Kwinana 5,187 Shire of Northam 530 Town of Victoria Park 6,564 Shire of Lake Grace 85 Shire of Northampton 250 Shire of Victoria Plains 44 Shire of Laverton 47 Shire of Nungarin 19 Town of Vincent 6,808 Shire of Leonora 135 Shire of Peppermint Grove 359 Shire of Wagin 106 City of Mandurah 7,633 Shire of Perenjori 38 Shire of Wandering 31 Shire of Manjimup 468 City of Perth 22,803 City of Wanneroo 22,357 Shire of Meekatharra 70 Shire of Pingelly 66 Shire of Waroona 222 City of Melville 15,544 Shire of Plantagenet 275 Shire of West Arthur 48 Shire of Menzies 45 Town of Port Hedland 1,535 Shire of Westonia 17 Shire of Merredin 170 Shire of Quairading 66 Shire of Wickepin 43 Shire of Mingenew 29 Shire of Ravensthorpe 138 Shire of Williams 54 Shire of Moora 120 City of Rockingham 12,210 Shire of Wiluna 29 Shire of Morawa 45 City of Karratha 1,871 Shire of Wongan-Ballidu 82 Town of Mosman Park 1,401 Shire of Sandstone 13 Shire of Woodanilling 28 Shire of Mt Magnet 38 Shire of Serpentine-Jarrahdale 1,408 Shire of Wyalkatchem 40 Shire of Mt Marshall 41 Shire of Shark Bay 58 Shire of Wyndham-East Kimberley 397 Shire of Mukinbudin 35 City of South Perth 7,154 Shire of Yalgoo 20 Shire of Mundaring 3,173 City of Stirling 34,636 Shire of Yilgarn 99 Shire of Murchison 4 City of Subiaco 4,524 Shire of York 216 Shire of Murray 747 City of Swan 18,680 Shire of Nannup 90 Shire of Tammin 28 Shire of Narembeen 48 Shire of Three Springs 36 Shire of Narrogin 248 Shire of Toodyay 240

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Infrastructure and vehicle numbers include only structures and operational vehicles in use. It does APPENDIX 3 not include facilities or operational vehicles that are unoccupied, unused or due for disposal. INFRASTRUCTURE Infrastructure CFRS BFS SES VFRS VFES AND VEHICLES Number of existing structures as at 29* 363 61 74 12 30 June 2018 Number of new (additional facilities) 0 7 0 0 0 structure approvals 2017-18 Number of new (replacement facilities) 1 7 2 0 0 structure approvals 2017-18 Number of structure improvements 1 15 4 1 0 2017-18 (excludes minor works)

*Includes three collocated CFRS/VFRS facilities.

Response Vehicles CFRS BFS SES VFRS VFES Number of existing response vehicles 71 638 312** 177 70 as at 30 June 2018 Number of replacement response 10 54 4 26 13 vehicle approvals 2017-18 Number of existing trailers as at 20 20 197 45 25 30 June 2018

**SES includes licenced equipment such as trailers and major capital equipment such as lighting towers.

In addition, there are: 151 High fire appliances available to be deployed across the State and used by all services except SES 32 Standby appliances used for rotation of fleet during maintenance and support for breakdowns 34 Training appliances held at the Western Australian Fire and Emergency Service Academy 85 Appliances at various locations including 50 under Comprehensive Crew protection scheme, regional office and SWORD 40 Trailers at Regional offices, SWORD, Urban Search and Rescue and Aviation services.

Department of Fire and Emergency Services | Annual Report 2017-18 211 www.dfes.wa.gov.au